Bollinger %b

Bollinger %b is derived from John Bollinger's original Bollinger BandsĀ® indicator. Bollinger %b describes where the most recent close price falls within the range created by the Upper and Lower Bollinger Bands or the degree to which the most recent close price falls outside the range created by the Upper and Lower Bollinger Bands.

  • %B equals one when the price is at the upper band.
  • %B equals zero when the price is at the lower band.
  • %B is greater than one when the price is above the upper band.
  • %B is less than zero when the price is below the lower band.
  • %B is greater than .50 when the price is above the middle band (20-day SMA).
  • %B is less than .50 when the price is below the middle band (20-day SMA).

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Read more about Bollinger %b at www.BollingerBands.com. Bollinger Bands is a registered trademark of John Bollinger, who developed them.