Note on DV Bands
Just to clarify , the mean referenced for average daily returns represents the new rescaled mean based on the percentrank funtion which has a mathematical value of .5, using the new oscillator. The upper and lower bands are derived using the .975 and .025 levels…..which are the same as the +/-2 z-scores in the normal distribution. The actual creation of the price mean and upper and lower price band values is a bit more complicated. It involves re-scaling the current upper/lower and mean values. More on this to come.