Bollinger Bands Width (BBW) – FX Replay Guide
BBW tracks volatility compression and expansion, helping you time breakouts, ride trend continuations, and filter trades by market energy.
How to Add It
- Indicators → search “BBW” (Bollinger Band Width)
- Apply with: Length = 20, Deviation = 2 (default Bollinger settings)
How to Use BBW in FX Replay
Detecting Squeezes (Low BBW)
- When BBW hits local or historical lows, volatility is compressed → a breakout is likely.
- Prime moments: before high-impact sessions (e.g., London/NY AM) or after extended ranges.
Breakout Signal Confirmation
- After a squeeze:
- Wait for price to break an outer Bollinger Band.
- Confirm with volume spikes, VWAP retest, or RSI momentum.
Trend Continuation (High BBW)
- Expanding BBW during a move signals strength — consider holding or scaling in.
- Pair with SMMA or Supertrend to confirm direction.
Backtesting Tips
- Track setups like:
- “BBW squeeze + NY Open Breakout”
- “BBW expansion + VWAP bounce”
- “BBW low + PO3 expansion phase”
- Study price action around compression zones and session boundaries.
Strategy Combo Examples
- BBW + Zeussy Cycles: Watch for squeezes during AMD 30/90.
- BBW + Fractals: Breakout above a fractal high with expanding BBW = high-probability entry.
Pro Tip
In FX Replay, BBW is your pre-trade radar:
- Low BBW → Be alert — a move is brewing.
- High BBW → Market is already moving — ride the trend or wait for a pullback.
Enhance signals by pairing BBW with:
- FVG retests or order-block reactions after a squeeze
- Zeussy session markers to align with market rhythm
- Trade-journal tags like “BBW squeeze + HTF PO3 bias + volume spike” for systematic review*