Bollinger Bands

[Kushal_Chawda]

This article provides an overview of Bollinger Bands.

Many traders use Bollinger Bands to determine overbought and oversold levels, selling when price touches the upper Bollinger Band and buying when it hits the lower Bollinger Band.

Components of Bollinger Bands

1) Avg Stock Price

    It's simple Avg of stock price.

2) Moving Avg of Stock Price

    It's Moving Avg of Stock price over last n Period

3) Upper Band

    Moving Avg of Stock Price + Std Deviation over last n Period * Std Deviation Multiplier

4) Lower Band

    Moving Avg of Stock Price - Std Deviation over last n Period * Std Deviation Multiplier

Note :

• Users can select their own moving period and standard deviation multiplier.

• When viewing the Bollinger Bands on a weekly basis, users can choose a moving period ranging from 1 to 50.

• When viewing the Bollinger Bands on a monthly basis, users can select a moving period ranging from 1 to 10.

• The standard deviation multiplier can be inputted from 0.01 to 4.

•  

Please refer to the attached application.

Additionally, please see:

Benford's law‌

Control Chart

[#2]

Kushal Sir thanks for this.

[Anonymous]

useful information

[santiago_respane]

Excellent! Very interesting and useful.

Will try