Bollinger Bounce Rules

LONG SET UP
 Time Frame H4
 When you get a signal it indicates only a potential set up. You need to
investigate further. On SC2 the entry is 1 point above the previous bar
and Stop loss 1 pip below the previous bar.
 Check with the Higher Time frame
 Both H4 and D1 EMAs needs to be in the same direction
 For a Long set up you need 50 EMA above 100EMA in both D1 and H4
(This is called Time Frame confluence ie agreement!)
 You want to see a Higher High and Higher Lows pattern on the D1 and
H4
 Check EMAs for separation – if they are on top of each other this is a flat
market and perhaps not the best for a long set up. You want to see
separation! Not too much romance!
 Trade at the start of Phase 1 as this works the best in the Trend direction
 CHECK FOR THE HORZIONTAL LEVELS – SUPPORT AND RESISTANCE
 EMAs act as Dynamic Support and Resistance
 The key is that you want the price to be traded below the lower band
(you are looking for the rubber band effect and we are looking for the
market to move up!)

SHORT SET UP
 Time Frame H4
 When you get a signal it indicates only a potential set up. You need to
investigate further. On SC2 the entry is 1 point above the previous bar
and Stop loss 1 pip below the previous bar.
 Check with the Higher Time frame
 Both H4 and D1 EMAs needs to be in the same direction
  For a short set up you need 50 EMA below 100EMA in both D1 and H4
(This is called Time Frame confluence ie agreement!)
 You want to see a Lower Highs and Lower Low timeframe on both
timeframes
 Check EMAs for separation – if they are on top of each other this is a flat
market and perhaps not the best for a long set up. You want to see
separation! Not too much romance!
 Trade at the start of Phase 1 as this works the best in the Trend direction
 CHECK FOR THE HORZIONTAL LEVELS – SUPPORT AND RESISTANCE
 EMAs act as Dynamic Support and Resistance
 The key is that you want the price to be traded above the upper band
(you are looking for the rubber band effect and we are looking for the
market to move down!)
THE KEY IS THAT THE HIGHER TIMEFRAME D1 NEEDS TO BE CHECKED FOR ALL
TRADES! This will help create more consistency and wipe off the noise that is
experienced in the shorter timeframes!

Reward: Risk ratio is 1:1

Advance traders can increase the R:R as they learn to manage the traders
because you need to keep an eye on it! Managing the Risk is the key to your
trading Success!