**Bollinger %B Stock Indices Technical Analysis and Bollinger %B Stock Indices Signals**

Developed by John Bollinger

Percent B indicator is derived from Bollinger Bands.

This is an oscillator which has 3 lines - 0, 50, 100

- 0 represents lower Band
- 50 represents middle Band
- 100 represents upper Band

Percent B oscillates between these three points and it shows where the stock index price is in relation to the 3 Bollinger Bands.

**%b indicator**

When the stock index price touches the upper band then the oscillator hits 100, if stock index price moves above the upper band the oscillator moves to +100

When the stock index price touches the lower band then the oscillator hits 0, if stock index price moves below the lower band the oscillator moves to -0

When the stock index price touches the middle band then the oscillator will be at 50.

**Calculation**

Percent B = Indices Price Close - Lower Band * 100

Upper Band - Lower Band

## Stock Indices Technical Analysis and Generating Stock Indices Signals

Percent B indicates to what degree the stock index price closes above or below any of the bands.

## Buy Stock Indices Signal

Oscillator values above 50 is a bullish signal.

**% b Bullish Buy Stock Indices Signal**

## Sell Stock Indices Signal

Oscillator values below 50 is a bearish signal.

**%b Bearish Sell Stock Indices Signal**