forextra: Another very important indicator, although not a stochastic one, is called Bollinger Bands.
Named for their inventor, technical analyst John Bollinger who invented them in 1982, Bollinger bands are indicators of volatility – rapid movement that is often a prelude to trend change.
Bollinger Bands are placed on top of a given price chart. They consist of a moving average based on the price, along with upper and lower ‘bands’ that define pricing “channels.”
As always, you will not be obliged to make these calculations, as your forex platform will place the Bollinger bands on the chart for you…