Fibonacci Bollinger Bands in new light

Fibonacci Bollinger Bands indicator is a very nice, trustworthy and easy to grasp indicator. (The afl is available on various website, with the candle bar. As for me western bar gives more clear result I`ve channged the code with little effort. I will post Chart and AFL later)

Fibonacci Bollinger Band is based on the same principles as the standard Bollinger Bands indicator. The upper and lower bands of Fibonacci Bollinger Bands indicator depends on volatility just like the Bollinger Bands indicator does. There is a difference though, in standard B bands standard deviation is used as the measure of volatility. In Fibonacci B Bands Wilders Smoothed ATR is used.

The middle band is a moving average and it is used to establish the intermediate-term trend. The 3 upper bands are constructed by using the Wilders Smoothed ATR and multiplying it by each of the Fibonacci factors and then adding the results to the middle band. Three 3 lower bands are constructed in the same was as the upper bands except their results are subtracted from the middle band. Fibonacci factors that we get here are : 1.6180, 2.6180, and 4.2360
The Fibonacci Bollinger Bands indicator may provide good clues to price reversals. It may indicates the probable support and resistance levels. But it should be used with other technical analysis methods or indicators. (Hope I wou

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