|
PureBytes Links
Trading Reference Links
|
Hello Ron,
Two SDs will not necessarily encompass 95% of data between the bands. The
reason is that stock prices do not conform to normal statistical
distribution; there are more occurrences towards either end of the spectrum
than one would expect in a normal distribution. This phenomenon is known as
'fat bottoms'.
In order to contain 95% of prices within the bands for a particular stock,
you may have to increase your standard deviation parameter. However, every
stock has it's own 'personality' so what works for one may not yield the
same result for another.
Regards,
Kevin
At 19:34 07/10/2003 -0400, you wrote:
>
>Is it not the case that 2 standard deviations on either side of a moving
>average (as is the case with Bolllinger band settings) won't encompass
>about 95% of the data between the bands?
>I don't understand
>=>=>+>+>=
>
>or
>
>"breaking another indicator's legend"
>
>I think I understood
>no it does not
>
>
>
>le corbeaux masque wrote:
>
> > I believe 2
> > > std devs account for about 95% of the data.
> > >
> > =>=>+>+>= no it does not
> >
> > "breaking another indicator's legend"
> >
> > __________________________________
> > Do you Yahoo!?
> > The New Yahoo! Shopping - with improved product search
> > http://shopping.yahoo.com
> >
> > Yahoo! Groups Sponsor
> >
> <http://rd.yahoo.com/M=259395.3614674.4902533.1261774/D=egroupweb/S=170500
> 1779:HM/A=1524963/R=0/SIG=12o885gmo/*http://hits.411web.com/cgi-bin/autore
> dir?camp=556&lineid=3614674&prop=egroupweb&pos=HM>
> >
> >
> >
> > To unsubscribe from this group, send an email to:
> > Metastockusers-unsubscribe@xxxxxxxxxxx
> >
> >
> >
> > Your use of Yahoo! Groups is subject to the Yahoo! Terms of Service
> > <http://docs.yahoo.com/info/terms/>.
>
>
>
>
>To unsubscribe from this group, send an email to:
>Metastockusers-unsubscribe@xxxxxxxxxxx
>
>
>
>Your use of Yahoo! Groups is subject to http://docs.yahoo.com/info/terms/
------------------------ Yahoo! Groups Sponsor ---------------------~-->
Rent DVDs Online - Over 14,500 titles.
No Late Fees & Free Shipping.
Try Netflix for FREE!
http://us.click.yahoo.com/JYdFFC/XP.FAA/ySSFAA/zMEolB/TM
---------------------------------------------------------------------~->
To unsubscribe from this group, send an email to:
Metastockusers-unsubscribe@xxxxxxxxxxx
Your use of Yahoo! Groups is subject to http://docs.yahoo.com/info/terms/
|