DBBs - Definition and Construction
In a previous lesson, we learned about Bollinger Bands as an indicator that can be useful in flat or gently trending markets, but not during strong trends. Now we will learn about Double Bollinger Bands (DBBs).
Double Bollinger Bands are a powerful variation on the standard single Bollinger Band, because they tell us much more about momentum and hence trend strength, both in flat and strongly trending markets.
This lesson will show that unlike standard Bollinger Bands, Double Bollinger Bands are exceptionally useful in strongly trending markets, because they help us to better determine the true momentum shown within the candlestick price action.