Using MACD to determine direction + Bollinger Bands middle line for entry/exit: A 'winning without effort' strategy for hitting the perfect buy/sell points.

Staring at the screen until 3 a.m., only to lose half a month's worth of bubble tea money? Following a 'guru' to buy stocks, only to get trapped in a pullback the moment you enter? Even after learning a bunch of indicators, you still can't make sense of the 'gibberish' on the candlestick chart?

If you're also this kind of 'investor', don't panic~
Today, I'm sharing a 'winning without effort' trading method that can be learned in just 10 minutes: use MACD to determine the trend direction and the Bollinger Band middle line to find entry and exit points. No need to calculate complex formulas, no need to stare at the screen late into the night, just get the rhythm right to avoid more pitfalls.

First, Understand: MACD is Your 'Trend Traffic Light'

Many people think MACD is a 'mystical indicator', but it's actually a 'market traffic light'.
It helps you judge whether it's a 'rising period where you can enter' or a 'falling period where you should hide'.
No need to remember professional terms like 'golden cross' or 'death cross', just look at these 2 signals:

Green Light (Can Buy): The short-term line (DIF) crosses above the long-term line (DEA), and both lines are above the 'zero axis' → Equivalent to the traffic light turning green, the market is about to start.
Red Light (Should Sell): The short-term line crosses below the long-term line, or both lines are below the zero axis → Equivalent to the red light turning on, the market is about to cool down.

For example: A certain new energy stock in 2025, after the MACD showed a green light in July, rose 28% in 3 months (equivalent to earning an extra year's worth of coffee money); after showing a red light in November, it fell 15% in 1 month—if you had looked at the traffic light earlier, you could have avoided this loss.

Then Learn: The Bollinger Band Middle Line is the 'Automatic Entry/Exit Line'

If MACD is the 'traffic light', then the Bollinger Band (BOLL) is the 'subway handrail'.
It helps you 'stand firm and not get pushed off the train' in the market.
The core of the Bollinger Band is the middle 'middle line', as simple as riding the subway:

When the stock price/fund NAV runs above the middle line → Equivalent to the subway going up, the middle line is the 'handrail' (hold on tight when it pulls back, don't let go).
When the stock price crawls below the middle line → Equivalent to the subway going down, the middle line is the 'warning line' (get off immediately when touched, don't force your way).

For example: A certain semiconductor stock in 2025, it kept fluctuating above the middle line in September, bouncing back every time it touched the middle line; after breaking below the middle line in October, it directly fell from 120 yuan to 90 yuan. The middle line is the 'lifeline', getting it right can save you 30% in losses.

Combo Move: Three Steps to Handle Buy/Sell Points (Newbies Can Copy Directly)

Using a single indicator alone is easy to 'get tricked', but the MACD + Bollinger Band combo is 'double insurance'.
MACD sets the major direction, Bollinger Band captures precise timing, three steps to get started:

Use MACD to Turn on the 'Green Light' Before Entering

First, check if the MACD shows a green light (golden cross + above zero axis). If it's a red light, don't touch it no matter how attractive the gain is.

For example, a certain consumer stock in December 2025, although it rebounded 5%, the MACD was still a red light, and it ended up falling another 10% after the rebound.

Bollinger Band Middle Line 'Buy on the Pullback'

After the green light is on, wait for the stock price/NAV to pull back to the Bollinger Band middle line before buying.

For example, a certain photovoltaic stock in August 2025, after the MACD green light, buying on the pullback to the middle line resulted in a 22% gain in 1 month; if you chased the high and bought at the peak, you'd be trapped for a week instead.

Break the Middle Line and 'Get Off Immediately'

Once the stock price breaks below the Bollinger Band middle line (even for just one day), sell first regardless of profit or loss.

For example, a certain pharmaceutical stock in October 2025, after breaking below the middle line and not selling, it turned from a 10% profit to a 5% loss, equivalent to losing a month's worth of coffee money.

Avoid Pitfalls: Don't Make These Three Mistakes!

Don't Wait for the 'Perfect Signal': You can buy when the MACD green light just turns on and the Bollinger Band hasn't completely flattened. By the time the signal is 'perfect', the stock price has already soared.
Don't Rely on a Single Indicator: Only enter when MACD is green light + price is above the Bollinger Band middle line. Missing one could lead to a pitfall.
Don't Go All In: Even if the signal is accurate, only use 30% of your spare money to play. After all, investing is a 'long-term game', don't throw all your living expenses into it.

Final Words

Investing is not 'gambling on big or small', but using tools to reduce the probability of making mistakes. This 'MACD + Bollinger Band' combo essentially helps you 'give up the perfect buy point and capture the high-probability market trend'.
After all, being able to steadily earn 10% is much better than gambling and losing 20% in one go.

The market is open now, why not take 5 minutes to open your portfolio and scan it with this trick:

Is the MACD a green light or a red light?
Is it above or below the Bollinger Band middle line?

Chat in the comments: What indicators do you usually use? What's the worst pitfall you've ever stepped into?