Bollinger Bands

Contents[Hide]

The Bollinger Bands function was developed by John Bollinger. It computes a pair of data bands that envelope the moving average of the input value series.

Each data band is positioned a specified number of standard deviations away from the moving average of the selected input value series. Applications of Bollinger Bands include the measurement of stock price volatility.

BOLLINGERUPPER and BOLLINGERLOWER Bands
BOLLINGERUPPER and BOLLINGERLOWER Bands

Note
To use an exponential moving average instead of the simple one, see Moving Average Envelopes.

1. Syntax

Upper Bollinger Band:

BOLLINGERUPPER(d0,s0,s1,Alignment)

Lower Bollinger Band:

BOLLINGERLOWER(d0,s0,s1,Alignment)

Using the Upper Bollinger Band
Using the Upper Bollinger Band

2. Input

The BOLLINGERUPPER and BOLLINGERLOWER functions require the following input to calculate the moving average of the input value series:

  • d0 - The set of data values for which the Bollinger Bands is calculated.

3. Parameters

The BOLLINGERUPPER and BOLLINGERLOWER functions require the following parameters:

  • s0 - Period - The number of time periods to use in the calculation. Default value is 10.
  • s1 - Standard Deviation Shift - The number of standard deviations that is used to shift the bands away from the simple moving average. Default value is 2.
  • Alignment (Optional) – Hierarchy placeholder to be used as the alignment axis.

4. Output

The BOLLINGERUPPER function generates the following output:

  • Upper Bollinger Band - The Upper Bollinger Band result set.

The BOLLINGERLOWER function generates the following output:

  • Lower Bollinger Band - The Lower Bollinger Band result set.

5. See also

Dundas Data Visualization, Inc.
500-250 Ferrand Drive
Toronto, ON, Canada
M3C 3G8

North America: 1.800.463.1492
International: 1.416.467.5100

Dundas Support Hours: 7am-6pm, ET, Mon-Fri