Hi friends hope you all are fine good afternoon. According to my knowledge Why does a trader use a moving average to filter price action? Using a moving average is the way to see how the trend goes because a currency can be traded for a long period within the trend. On the other hand, traders still prepare themselves for encountering volatility occasionally. But still, traders treat this as a good opportunity to get essential information about the market’s movements. As the Bollinger Bands indicator is based on the moving average, traders can also very effectively use the Bollinger Bands indicator. If the currency price frequently taps the Bollinger Band above, it’s price is considered as overbought. But if the currency price frequently taps the Bollinger Band below, it is considered as oversold that triggers the buy signal for traders. Traders can also see the lower and upper bands as their price goals (levels for setting profit-targets). Best wishes. Thanx to all of you
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