If you're looking to level up your trading game, understanding Bollinger Bands is essential. This indicator offers a unique feature: you can control the smoothing of the outer bands individually. That means you can tweak the upper band’s smoothing period without affecting the lower band, and vice versa. It’s all about giving you the ultimate control over how you interpret market volatility.
The PRE smoothed Bollinger Bands utilize separate moving averages (MAs) for standard deviation, drawing from the original Bollinger Band calculations. It’s a bit of a game changer!
Additive outer band smoothing is a key feature here. When you set this option to true, the smoothing period is added to the existing Bollinger Bands period. If you turn it off, it relies on its own period, which is independent of the middle line’s period.
In essence, pre-band smoothing is straightforward; it simply adds an extra MA period to the outer band of the Bollinger Bands. Think of it as your classic Bollinger Bands, but with an extra layer of control!
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