Description
The Moving Average Band Width indicator is based on the Moving Average Bands study, both designed by Vitali Apirine. Instead of examining the interaction of the lines (which is the case in the original indicator), Moving Average Band Width suggests measuring the distance between the upper and the lower band.
Low readings of the indicator signify narrowing of the bands, which, in turn, can signify change in the current trend. You can compare the current indicator readings with the running display of the lowest reading for the indicator period, which is displayed as the second plot on the same subgraph.
Input Parameters
| Parameter | Description |
|---|---|
fast length
|
The length of the fast moving average. |
slow length
|
The length of the slow moving average. |
multiplier
|
The number of deviations defining the distance between the middle band and the upper and lower bands. |
average type
|
The type of moving average to be used in calculations: simple, exponential, weighted, Wilder's, or Hull. |
Plots
| Plot | Description |
|---|---|
BandWidth
|
The distance between the upper and lower moving average bands. |
LowestValue
|
The lowest value of BandWidth
|
Further Reading
1. "Moving Average Bands Part 2" by Vitali Apirine. Technical Analysis of Stocks & Commodities, August 2021.