Re: volatility bands on oscillators

["VonHef" <VonHef@xxxxxxxxxxxxx>]

I'm not sure how to create "Bands" on a oscillator, based on the
"Average True Range" since the ATR function is derived from the
days High and Low. I did manage to modify the "Denvelope"
code to work on the "RSI". This code may be worthless....but here
it is:

name:Denvelope (RSI)

pds:=Input("Periods",2,200,14);
sd:=Input("Standard Deviations",.01,10,2);
D1:= RSI(pds);
alpha:=2/(pds+1);
mt:=alpha*D1+(1-alpha)*(If(Cum(1)<pds,D1,PREV));
ut:=alpha*mt+(1-alpha)*(If(Cum(1)<pds,D1,PREV));
dt:=((2-alpha)*mt-ut)/(1-alpha);
mt2:=alpha*Abs(D1-dt)+(1-alpha)*PREV;
ut2:=alpha*mt2+(1-alpha)*PREV;
dt2:=((2-alpha)*mt2-ut2)/(1-alpha);
but:=dt+sd*dt2;
blt:=dt-sd*dt2;
blt;
dt;
but;


  Best wishes,
      Adam Hefner.
VonHef@xxxxxxxxxxxxx

---------------------------------------
----- Original Message -----
From: Walter Lake <wlake@xxxxxxxxx>
To: <metastock@xxxxxxxxxxxxx>
Sent: Monday, June 14, 1999 1:05 PM
Subject: Re: volatility bands on oscillators


> The lady's name is Constance Brown. Her web site is www.aeroinvest.com
>
> She doesn't recommend the Bollinger Bands but instead uses ATR bands. BB's
> give a totally different look.
>
> Best regards
>
> Walter
>
> ----- Original Message -----
> From: Laurent GITTLER <lgittler@xxxxxxxxxxx>
> To: <metastock@xxxxxxxxxxxxx>
> Sent: Monday, June 14, 1999 10:28 AM
> Subject: RE: volatility bands on oscillators
>
>
> > John Bollinger has applied Bollinger bands on indicators, thus giving a
> > relative reading rather than 30 - 70 %. RSI is a bit special because it
is
> > self-smoothing as you get longer periods. This gives another approach to
> > indicator reading.
> >
> > Another indicator which is very interesting builf on the same basis of
the
> > RSI is the Money Flow Index which takes care of volume.
> >
> > Laurent GITTLER
> >
> > -----Original Message-----
> > From: owner-metastock@xxxxxxxxxxxxx
> > [mailto:owner-metastock@xxxxxxxxxxxxx]On Behalf Of VonHef
> > Sent: Monday, June 14, 1999 2:41 PM
> > To: metastock@xxxxxxxxxxxxx
> > Subject: Re: volatility bands on oscillators
> >
> >
> > Hi Walter,
> >
> >  I have never looked at applying a volatility indicator on anything but
> > price. Did you discover anything?<g>
> > I am still looking over the other material you sent me......this may
> > take some time for me to absorb.
> >
> >   Best wishes,
> >       Adam Hefner.
> > VonHef@xxxxxxxxxxxxx
> >
> > ---------------------------------------
> > ----- Original Message -----
> > From: Walter Lake <wlake@xxxxxxxxx>
> > To: Metastock bulletin board <metastock@xxxxxxxxxxxxx>
> > Sent: Sunday, June 13, 1999 9:23 AM
> > Subject: volatility bands on oscillators
> >
> >
> > > Hi Adam et all
> > >
> > > Has anyone done any work with volatility bands on oscillators, i.e.
RSI,
> > > etc.?
> > >
> > > I was looking at various combinations of your "Denvelope" etc. on a
> > RSI(14).
> > >
> > > Best regards
> > >
> > > Walter
> > >
> >
> >
>