Donchian Channels
by PRASHANT SHAH -
Donchian channels were invented by Richard Donchian. He is known as a father of trend following trading. He was founder of world’s first managed fund in 1949.Donchian was born in 1905, he got interested in trading after learning about story of Jesse Livermore. Donchian started relatively at young age but was not successful initially in ... Read more
Bollinger Bands
by PRASHANT SHAH -
Bollinger Bands is a wonderful invention of John Bollinger. Bollinger band calculations are based on standard deviation. Let’s understand the concept of standard deviation. Imagine there are 10 people sitting in the room. For example, their average height is 165 cm. This is the average height and there can be a few people taller or ... Read more
Keltner Channel
by PRASHANT SHAH -
Chester W. Keltner (1909-1998) was a Chicago grain trader. He worked with successful traders who back-tested trading systems. He talked about Ten-Day Moving average trading rule in his book How to Make Money in Commodities in 1960.He did not claim that he invented the strategy so origin of this idea is uncertain. But people started ... Read more
