Bollinger Bands® | Forex Indicators Guide

Watch how to download trading robots for free. So post a link to it - let others appraise it. You liked the script? Try it in the MetaTrader 5 terminal.

iBands - Technical Indicators - MQL4 Reference

Standard deviation is a measure of volatility, therefore Bollinger Bands adjust themselves to the market conditions. When the markets become more volatile, the bands widen and they contract during less volatile periods.

Bollinger Bands are usually plotted on the price chart, but they can be also added to the indicator chart Custom Indicators.

Just like in case of the Envelopes, the interpretation of the Bollinger Bands is based on the fact that the prices tend to remain in between the top and the bottom line of the bands. A distinctive feature of the Bollinger Band indicator is its variable width due to the volatility of prices.

In periods of considerable price changes i. During standstill periods, or the periods of low volatility the band contracts keeping the prices within their limits. Bollinger bands are formed by three lines. The middle line ML is a usual Moving Average. The top line, TL, is the same as the middle line a certain number of standard deviations D higher than the ML.

The bottom line BL is the middle line shifted down by the same number of standard deviations.

It is recommended to use period Simple Moving Average as the middle line, and plot top and bottom lines two standard deviations away from it. Besides, moving averages of less than 10 periods are of little effect.

Full description of Bollinger BandsBB is available in the Technical analysis: Awesome Oscillator AO is a period simple Moving Average, which is subtracted from the 5-period simple Moving Average. MetaTrader 5 Experts Indicators Scripts Libraries MetaTrader 4 Experts Indicators Scripts Libraries Watch how to download trading robots for free. Download as ZIP , How to download code from MetaEditor.

The following traits are particular to the Bollinger Band: The last observation is useful for forecasting price guideposts. N — is the number of periods used in calculation; SMA — Simple Moving Average; StdDev — means Standard Deviation. Technical Indicator Description Full description of Bollinger BandsBB is available in the Technical analysis: Awesome Oscillator AO Awesome Oscillator AO is a period simple Moving Average, which is subtracted from the 5-period simple Moving Average.

Custom Bollinger Bands - MT4 Indicators

Average True Range, ATR Average True Range Indicator ATR is an indicator that shows volatility of the market. Bears Power Bears power oscillator Bears Power, Bears - trend following indicator. Bulls Power Bulls power oscillator Bulls Power, Bulls - trend following indicator.