STARC Bands: Moving Average Envelopes Scaled by Average True Range

Summary

This document explains a STARC Bands indicator built from a moving average and Average True Range. The moving average forms the center line; upper and lower bands are placed around it by multiplying ATR by a selected coefficient. A second coefficient defines inner bands, while a display option controls whether the middle moving-average line appears.

Users can select from several moving-average methods, including simple, exponential, weighted, Hull, and volume-weighted variants, as well as choose the applied price and calculation periods. The description defines the indicator’s inputs and construction, but gives no entry or exit rules, market examples, or evidence about predictive performance. The bands therefore describe price dispersion relative to recent true range; their usefulness depends on parameter choices and requires separate testing within a trading method.

Key ideas

• STARC Bands center on a moving average and scale the surrounding bands by Average True Range.
• Separate ATR coefficients define inner and outer upper and lower bands.
• The indicator exposes choices for calculation periods, moving-average method, applied price, and display of the center line.
• The document describes construction only and provides no trading rules or performance evidence.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.