Another very interesting point with this set up is that when the price opens and closes OUTSIDE the outer band this is a great signal to alert day traders to the ACTUAL direction of the upcoming move. This is ONLY confirmed when the bands themselves EXPAND.
The illustration shows two highlighted sections where the price opens and closes outside the outer band BUT ON BOTH OCCASIONS the bands were contracting.
The move down following these two areas is obvious as it coincided with expanding bands.
This very low risk strategy.
I am sure some very clever coder could make this into an EA and sell it - donating some proceeds to the British Heart Foundation (hint).
TEAMTRADER