7.4

DBBs - 4 Rules, Rule 3

In this lesson we outline the 3rd rule of the Double Bollinger Bands trading strategy. When the price action has started to settle within the neutral zone , that’s a signal to exit any trades that are riding the current up or down trend, because that trend is now showing weakness.
There isn’t enough up or down momentum for us to have confidence in the uptrend or downtrend continuing, so it is time here to think about getting out and perhaps utilizing a range-based trading strategy instead.

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