FX:AUDJPY Australian Dollar/Japanese Yen
Although this idea seems to be Counter trend, it is actually a trend continuation of a slope that dates back to the beginning of April 2014. Chart contains additional reasons for entry. just wait for a close below the upper parallel (green line) to enter!! Good luck!!
Hello Munsifk, thank you for a very good question and your contribution. The answer to your question is a bit more complicated than what you are suggesting: I use Bollinger bands IN COMBINATION with median line analysis. I never solely depend on the BB's to determine a trend or execute a trade for the very same head fakes that you are talking about. However when price reaches upper/lower parallels or quartiles of the pitchforks I wait for the BB's to indicate a strong move, that is where BB's are really good at. And I also combine them with other indicators like a slow MACD (30,60,30), the TheLark RSI and ideally volume based indicators which I get on other charting packages (volume is not exposed for Forex on trading View). Hope that makes sense. Please read these articles I think you will learn a great deal from them. The best of luck, Hamza