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Ankit_1618
Aug 5, 2020 9:08 AM

[A618] Historical Volatility Bands 

Nifty Bank IndexNSE

Description


Historical Volatility Bands

To be used over 5 mins for best results

HVB is a standard deviation measure for Historical Volatility Percentile,
It helps you figure out the next level of Support and Resistances

> If the HVB width is narrow, its an indication for a Trending market day
> Price crossing the highest green band line symbolises a nice upmove
> Price crossing the lowest red band line symbolises a nice downmove
> Green and Red lines are levels of Support and Resistances with respect to Historical Volatility


Credits
Historical Volatility Percentile calculation part : @cheatcountry

Link to cheatcountry idea


Hope this Helps!
Comments
TradeBuddy2019
hello, im not seeing anything show on the charts...
Ankit_1618
@TradeBuddy2019, Try it over 5 mins chart, its made to be used over 5 min timeframe
TradeBuddy2019
@Ankit_1618,
yes i did try it on the 5min charts, does it work for crypto pairs
Ankit_1618
@TradeBuddy2019, It works for BTCUSD, 5min
Ankit_1618
@TradeBuddy2019, You may find it not working for securities whole value is <1
TradeBuddy2019
@Ankit_1618,
ok i see it now...
but question what is the annual length setting for and why is it set to 252 default
Ankit_1618
@TradeBuddy2019, 252 is approx number of working days in a year, thats why it is set, its used in equation of historical volatility
TradeBuddy2019
@Ankit_1618,
is it possible to make this work on the 1min TF also???
Ankit_1618
@TradeBuddy2019, This model will work only for 5 min timeframe, on or under 1 min level you will need to account for rate of change in volatility for deduction of level, which is not the case in this script, this one is optimum for usage in 5 min TF,
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