HODAR: Hour-Specific Average Range Bands
Summary
HODAR estimates the historical average high-low range separately for each hour of the day. On an hourly chart, it uses the average for the current hour to draw bands around a chosen price series, or to show a shaded candle, or both. A multiplier controls the displayed width, an offset selects which hour’s custom close centers the display, and a start date can limit the observations included in the calculation.
The indicator’s method is a running arithmetic average of each hour’s observed ranges, accumulated from the selected start date or all available history. The document gives implementation code and advises applying it to an hourly price chart. It offers no backtest, performance evidence, or trading rules, so the bands should be understood as a descriptive volatility reference rather than a validated signal. Results also depend on the instrument’s trading hours, the history available, and the selected price center and settings.
Key ideas
- The indicator tracks a separate historical mean high-low range for each hour of the day.
- It plots that hour’s average range around a configurable price center.
- A multiplier changes band width, while an offset selects the hour used for the center price.
- A start date controls which observations contribute to the averages.
- The document provides no evidence that the bands predict prices or improve trading results.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.