Trading with the MIDAS Standard Deviation Bands
As noted in Chapter14 when discussing the MDC, the same support and resistance strategies with Japanese candlesticks can be deployed.
Setting Price Targets
With the MDC, the expectation when price reaches one of the bands is for it to move back at least as far as to the central MIDAS curve or else to move all the way through the indicator to one of the bands on the other side of the MIDAS curve. Alternatively price will break out and new price targets external to the bands can be established. However, reversal price targets within the bands back to the central MIDAS curve or to bands on its other side cannot be so easily guaranteed with the MSDBs due to the fact that the latter's bands are continually ...