Trade Stock Indices

Bollinger %B Technical Analysis & Bollinger %B Trading Signals

Created by John Bollinger

Percent B indicator is derived from Bollinger Band.

This is an oscillator trading which has 3 lines - 0, 50, 100

  • 0 represents lower Band
  • 50 represents middle Band
  • 100 represents upper Band

Percent B oscillates between these three points and it shows where the price is in relation to the 3 Bollinger Bands.

Bollinger Percent %B Indicator - Bollinger % B Indicator Analysis

%b indicator

When the price touches the upper band then the oscillator hits 100, if price moves above the upper band the oscillator indicator moves to +100

When the price touches the lower band then the oscillator hits 0, if price moves below the lower band the oscillator indicator moves to -0

When the market price touches the middle band then the oscillator indicator will be at 50.

Calculation

Percent B = Price Close - Lower Band * 100

Upper Band - Lower Band

Indices Technical Analysis & How to Generate Signals

% B indicates to what degree the market price closes above or below any of the bands.

Buy Trading Signal

Oscillator Technical values above 50 is a bullish signal.

Bollinger %B Indicator

% b Bullish Buy Trading Signal

Sell Trade Signal

Oscillator Technical values below 50 is a bearish signal.

Bollinger Percent %B Indicator Bearish Sell Indices Signal - Bollinger Percent B Indicator Analysis

%b Bearish Sell Trading Signal

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