Standard Deviation Bell Curve Indicator?

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  • #162376 quote
    Bard
    Participant
    Master

    Hi, so… can the above graph have std Deviation lines within the Bell or is it a bust? I’m guessing the latter but for anyone looking here’s a 1, 2 and 3 Std Dev Probability Cone Indicator Graph – Image Dow Jones, Bear Call Credit Spread:
    https://biocrudetech.com/index.php?option=com_blankcomponent&view=default&Itemid=655

    Prob-Cone.png Prob-Cone.png
    #162385 quote
    Vonasi
    Moderator
    Master

    It’s a bust from me…. I don’t exactly understand what you want or why you want it. Add on to that the amount of work required to draw bell curves of data to the correct scaling for any instrument in any time frame and then add on the lack of free time I have at the moment and it is definitely a bust from me.

    #162390 quote
    Bard
    Participant
    Master

    Yeah, no worries @Vonasi. By “bust” I meant “not possible/doable” which you’ve commented on. 

    I had this idea — despite the fact that it’s very time consuming to make the indicator overlay onto the price chart and the limitations of accounting for Fat Tailed events in a PDF, as alluded above with the 64 year S&P 500 study —  that it would be great to see your indicator with those 1, 2 and 3 std deviations drawn in as straight lines within the distribution (curve) (and as a separate indicator below the price) to show the probability of where the price is settling. So like my blue bell curve image with the 1, 2 and 3 std devs at the top of the previous page but with std devs now marked out within your distribution:

    https://www.prorealcode.com/topic/standard-deviation-bell-curve-indicator/#post-160814

    I note that actually there is a lot of Skewness.

    It’s useful not just for options trading and understanding the probability of options going ITM or OTM but also just for general trading and price predictions estimates. I did find this link below though which is why I thought I’d seen this type of indicator on PRC and not elsewhere!

    https://www.prorealcode.com/topic/array-variables-availability-in-prorealtime/#post-118818

    A coder on Trading View has gone into detail about Std Deviations and Probability Cones for anyone interested:
    https://www.tradingview.com/script/wPF90tlA-Probability-Cone-BAPig/

    Cheers,

    #242434 quote
    arenda
    Participant
    New

    Hi @bard did you able to figure out the bell curve indicator ? I am looking for one. Please let me know . Thanks 🙏

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Standard Deviation Bell Curve Indicator?


ProBuilder: Indicators & Custom Tools

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Bard @brad Participant
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This topic contains 18 replies,
has 4 voices, and was last updated by arenda
1 year, 1 month ago.

Topic Details
Forum: ProBuilder: Indicators & Custom Tools
Language: English
Started: 02/08/2021
Status: Active
Attachments: 7 files
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