1. Introduction The Basic Of Bbma: Properties of MA’s

1. INTRODUCTION THE BASIC OF BBMA BBMA consists of 5 moving averages mostly acting as support and resistance lines together with Bollinger bands acting as dynamic support and resistance.

Properties of MA s ’

-MA5/10 high -MA5/10 low -MA 50 exponential -Bollinger bands

Application of moving averages

In a downtrend the Ma5/10 high will be acting as resistance line and going o n top of the candles, however the Ma5/10 low will be broken by the candles. Ma5 is below Ma10. In an uptrend the Ma5/10 low will be acting as resistance line and going below the candles, however the Ma5/10 high will be broken by the candles. Ma5 is above Ma10.

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Ma50 acts as support and resistance line, in a downtrend price will be moving below the MA50 and candles will be rejected by it, hence MA50 acts as a resistance line. And vice versa versa for an uptrend. A break of MA50 SIGNALS a change in direction not a SETUP. Ma50 also helps identify the trend in the market, which will be discussed later.

PROPERTIES OF BOLLINGER BANDS





In a downtrend candles have to be between lower BB and mid BB, because Lower BB acts as support and Mid BB acts as resistance. In an uptrend candles have to be between Mid BB and Upper BB, because Mid BB acts as support and Upper BB acts as resistance.

BBMA SETUP (combination of MA+BB)

BBMA consist of 7 steps that needs to be mastered, this are the basic moves of the market used by banks and other institutions to move the market. If not master this steps, you will never understand the movement of the market. Explained based on the sketch above a bove 1. Extreme point- this is where the MA5 moves out of the BB with candles, it consist of CS reverse and CS retest. CS reverse is the candle that closes back inside the BB after extreme and CS retest is the candle that retests the MA5low and close inside and this CS retest gives you an opportunity to enter for small pips (scalping). 2. MTP- must take profit point, this is where candles touch Ma5/10 high, its an exit point for an entry taken in extreme. 3. MLV- its when candles f rom MTP retest the previous extreme high and c lose back inside the BB as depicted in the image. It creates a second opportunity to enter the market, it creates





5.

Re-entry- its when the candle comes back down to retest the MA5/10 low to create an entry opportunity, in this situation the market loses momentum and move sideways or a slight pullback. CSD re-entry, after CSD candle the market has to come back and create a reentry.

-Re-entry 1- Market meets at midd BB with MA5/10 -Re-enrty2- Market meets at midd Bb with MA5/10 and Ma50

6. CSM-candle closing outside the BB confirming the trend direction, also creates a re-entry 7. Re-entry- re-entry created by the CSM candle, after CSM the must m ust be a re-entry.





2. INTRODUCTION TO ADVANCED A “

The market requires practice, patience and waiting for the perfect setup to play out, if this ”

not followed you will often fail as a trader ~ ~ me

Intra-Day Trading technique In the market you have to follow the trend to get good trades. You cannot enter a trade Based on a single time frame, you need atleast 3 time frames to confirm your setup before pulling the trigger.

Setup A (REM) We use D1 for trend confirmation, H4 to M15 for setup. Example: REM (Re-entry-Extreme-Must get all 7 steps), H4-H1-M15

Daily Chart (D1): Trend confirmation, candles between Mid Bb and lower Bb. MA50 above the candles or market. Downtrend.





H4 time frame, the market is giving us Re-entries (R), first signal of market going down.







M15 time frame, Market is giving us all the BBMA seven steps (Entry position time frame)

This example was to show you how the market moves and how big TF affects small TFs. Never take a trade based on one TF analysed the market from big to small, depending on weather you want to swing or intraday-trade or scalp it’s the same thing.

Other Very Very Important Setups to look for REE- Re-entry, Extreme, Extreme RRE- Re-entry, Re-entry (rejecting mid BB or MA50 also), Extreme EEE- Extreme, Extreme, Extreme “There

are lot of setups happening every day in all pairs, master your own setup, back test it until it





3. ADVANCED B None trending market Sometimes the market loses volume and range or move sideways, in this kind of a situation, one can Milk the market in both direction. When the market is sideways, Bollinger will be sideways or Horizontal, the market will be bouncing in upper BB and Lower BB. In other words it acts as a rubber bands and this gives an opportunity to get entries. Remember we don’t enter

Example:

based on one time frame, we still use three time frames to kill the market.





At H1 time frame the market has to be extreme in the points where the market is bouncing along the BB in H4 time frame. We can execute buys and sell in this zones.





1. Introduction The Basic Of Bbma: Properties of MA’s

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