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 Bollinger Band Technical Indicator components.

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Posts : 22
Join date : 2011-04-13

PostSubject: Bollinger Band Technical Indicator components.   Thu Aug 25, 2011 5:52 am

The Bollinger Band center line (middle band) is a measure of the intermediate-term trend, usually a simple moving average or an exponential moving average, that serves as the base for the upper and lower band.

The middle band is an “N“-period SMA usually set at 20 periods of closing data. A simple moving average is used because it is also used in the standard deviation formula. More about Bollinger Band Technical Indicator components >>>
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