GEOMETRIC STANDARD DEVIATION BANDS Ver.1 By Ricardo M Arjona @xel_arjona
DISCLAIMER:
The Following indicator/code IS NOT intended to be a formal investment advice or recommendation by the author, nor should be construed as such. Users will be fully responsible by their use regarding their own trading vehicles/assets.
The embedded code and ideas within this work are FREELY AND PUBLICLY available on the Web for NON LUCRATIVE ACTIVITIES and must remain as is.
WHAT'S THIS?
This IS NOT the wheel "Re-Invention"... This is exactly what the name says: A pair of Envelope Bands to measure "volatility", constructed at statistical relation from within price series and their Rolling back MEAN (Simple Moving Average). YES, What Mr. Bollinger did and put it's name to this simple, cleaver and popular formula.
This time, I took the time to make another simple mod, but seems to me to be quite functional in REAL VOLATILE assets like in the example chart: TO USE THEIR GEOMETRIC MODE!!
Cheers! Any feedback or public modification(s) are quite welcome to the community....!
Nice...am I understanding that this is like the std dev of the z value of the sequence with a log filter ...? It seems like a mlearning algo filter.
GERVASEJOE0709
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nice indi, thanks
Futuraman
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xel, I know about 2 people that trade on a weekly chart. Not too many people have the capital for the drawdown that it can take. I hate bands for trading but if you can show me something that works on a 30 minute and less time frame then I am a believer.
xel_arjona
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@dcc This is not a trading strategy but a "re-construction" of an statistical tool based on standard-deviation's adjusted for log-normality at price. This could be used for trading or anything else you want. Mr. John Bollinger actually is who sell's books, curses, and I don't know what else regarding this kind of bands (in it's normal distribution form) with a "method" for doing money. (They say...)
sudhir.mehta
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Thanks for sharing valuable analysis !!!!!!!!!!!!!!!!!! Great work !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
xel_arjona
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Thanks for you comments @sudhir.mehta Hope it helps! ;)