stelaraX - BB Width & %B

stelaraX – BB Width & %B

stelaraX – BB Width & %B is a Bollinger Bands analytics indicator designed to quantify volatility and price position within the Bollinger envelope. It combines two key Bollinger derivatives: BB Width (volatility expansion/compression) and %B (relative position of price inside the bands), with an optional squeeze detector based on multi-month width lows.

This indicator is part of the stelaraX ecosystem, focused on clean technical analysis and AI-supported chart evaluation
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Core logic

The script builds standard Bollinger Bands and then derives BB Width and %B from the band structure. A squeeze condition is detected when BB Width falls close to its 6-month minimum.

Key principles:

* Bollinger Bands are calculated from an SMA basis and a standard deviation envelope
* BB Width measures band distance relative to price level (volatility proxy)
* low BB Width indicates volatility compression, high width indicates expansion
* %B measures where price sits between lower and upper Bollinger Bands
* %B near 0 suggests price near/below the lower band, near 1 suggests near/above the upper band
* squeeze detection flags width values near the lowest level over ~6 months (125 bars)
* display mode allows plotting %B, Width, or both

This provides both a positional read (%B) and a volatility regime read (Width) in one tool.

Visualization

The script plots:

* %B line (optional) in a separate indicator pane
* dashed reference lines at 0.0, 0.5, and 1.0 for %B context
* BB Width line (optional) for volatility visualization
* background highlighting when a squeeze is detected (width near 6-month low)
* alert conditions for %B crossing above 1.0 or below 0.0
* an alert for squeeze start events

This flexible layout supports both positional and regime-based Bollinger analysis.

Use case

This indicator is intended for:

* monitoring volatility compression and expansion via BB Width
* identifying squeeze regimes that often precede breakouts
* tracking price location inside Bollinger Bands using %B
* confirming overextension when %B moves beyond 0–1 boundaries
* supporting breakout, mean-reversion, and AI-assisted chart evaluation workflows

It is especially useful as a context tool: Width for “when to expect movement,” and %B for “where price sits within that volatility frame.”

Disclaimer

This indicator is provided for educational and technical analysis purposes only and does not constitute financial advice or trading recommendations. All trading decisions and risk management remain the responsibility of the user.