Investing Dictionary
Charts

What is Bollinger Bands?

Lines around a stock's price showing its normal range

Full Explanation

Bollinger Bands are three lines: a moving average in the middle, and two bands above and below based on volatility. When a stock touches the upper band, it may be overbought. Lower band = potentially oversold.

Pro Tip

When the bands squeeze tight, a big move is often coming soon.

Track Real Stocks on Mr. Guy Invests

Free portfolio tracker, AI tutor, hedge fund tracker, everything explained in plain English.

Create Free Account

Free forever. No credit card needed.