Bollinger Band - Band Width Percent


Bollinger Band - Band Width Percent

Variable List Abbreviation: BBandWidth%


Variable Mode(s): Standard, Stock, Futures1, and Futures2

[ Note: uses selected close variable in Stock, Futures1, and Futures2 modes ]


Parameter(s): BBandWidth% time periods, BBandWidth% StndDev multiplier



The Bollinger Band Width as a percentage of the average price level over the last n time periods.  A sharp drop in bandwidth is often followed by dramatic move in the market (caution must be taken after a drop in band width, because historically the market has often started in a false direction just before its big move).



BBandWidth% = 100 * (Bollinger Band High - Bollinger Band Low)

                                         n time period moving average