Hi,

This chart looks worth keeping an eye on for those who use Bollinger Band reversal strategies.

This set up requires a W like shape at the end of a steep or long lasting downtrend.  The first trough in the W must be under the lower Bollinger Band and the second one above it. This indicates declining variation or momentum which often precedes trend reversal

Monday's candle could at this stage be the right hand trough in a reversal W. However, these patterns don't have to be perfect double bottoms to work well. Another alternative would be for price to continue drifting a little lower but still make a trend trough above the lower Bollinger Band.

One approach to the entry rule is to wait for a close above the high of the candle forming the trough. As things currently stand there would be a set up if today's candle closes above Monday's high (assuming yesterday's low stays intact).

The initial stop could be place just under the 2nd trough in the W

Cheers

Ric