Compact mode
Bollinger Bands vs Moving Average Convergence Divergence (MACD) vs Keltner Channels
Table of content
General Information Comparison
Indicator Type 📊
The category or classification of the trading indicator based on its primary function and analysis method.Bollinger BandsMoving Average Convergence Divergence (MACD)Keltner ChannelsAsset Class 💰
Specifies the financial instruments for which the indicator is most commonly usedFor all*- StocksIndicators optimized for analyzing and predicting stock price movements in equity markets.
- ForexIndicators optimized for currency pair trading in the foreign exchange market.
Bollinger BandsMoving Average Convergence Divergence (MACD)Known for 💭
The unique selling point or distinguishing feature of the trading indicatorBollinger Bands- Volatility And Trend StrengthBollinger Bands is known for Volatility And Trend Strength.
Moving Average Convergence Divergence (MACD)- Trend Strength And DirectionMoving Average Convergence Divergence (MACD) is known for Trend Strength And Direction.
Keltner Channels- Combining Moving Averages With VolatilityKeltner Channels is known for Combining Moving Averages With Volatility.
Made In 🌍
The country or origin of the trading indicatorBollinger BandsMoving Average Convergence Divergence (MACD)- 1960SMoving Average Convergence Divergence (MACD) was developed in 1960S. Trading indicators developed during a decade of economic growth and social change
Keltner Channels- United StatesKeltner Channels was developed in United States. Indicators developed in the USA, reflecting American trading principles
Characteristics Comparison
Lagging or Leading 🏁
Indicates whether the trading indicator is a lagging or leading type, reflecting its predictive nature.For all*- LaggingIndicators that confirm trends after they have started
Complexity Level 🧑
Indicates the level of expertise required to effectively use the indicatorFor all*Popularity 🏆
Indicates how widely used and recognized the indicator is in the trading communityBollinger Bands- HighThe popularity of Bollinger Bands among traders is considered High. Widely used and trusted indicators in the trading community
Moving Average Convergence Divergence (MACD)- HighThe popularity of Moving Average Convergence Divergence (MACD) among traders is considered High. Widely used and trusted indicators in the trading community
Keltner Channels- MediumThe popularity of Keltner Channels among traders is considered Medium. Indicators with balanced adoption and potential effectiveness
Facts Comparison
Interesting Fact 💡
An intriguing or lesser-known fact about the trading indicatorBollinger Bands- Named after John Bollinger
Moving Average Convergence Divergence (MACD)- Developed by Gerald Appel
Keltner Channels- Named after Chester Keltner
Sarcastic Fact 😉
A humorous or ironic observation about the trading indicatorBollinger Bands- It's like a financial corset - squeezing the price until it pops out
Moving Average Convergence Divergence (MACD)- Even your grandma knows this one but still can't use it properly
Keltner Channels- It's like a bodyguard for price trends keeping them in check
Application Comparison
Timeframe 🕑
The time intervals or periods for which the trading indicator is most effective or commonly used.For all*- DailyIndicators optimized for daily chart analysis, suitable for swing and position traders.
Bollinger Bands- 15-MinuteBollinger Bands is most effective for 15-Minute timeframes. Indicators suited for analyzing market data on a 15-minute timeframe
- 1-HourBollinger Bands is most effective for 1-Hour timeframes. Indicators optimized for analyzing market data on a 1-hour timeframe
Moving Average Convergence Divergence (MACD)- WeeklyMoving Average Convergence Divergence (MACD) is most effective for Weekly timeframes. Indicators optimized for weekly chart analysis, balancing short-term noise and long-term trends.
Keltner Channels- WeeklyKeltner Channels is most effective for Weekly timeframes. Indicators optimized for weekly chart analysis, balancing short-term noise and long-term trends.
Technical Details Comparison
Calculation Method 🧮
The mathematical or analytical approach used to compute the trading indicator's values.Bollinger BandsMoving Average Convergence Divergence (MACD)Keltner ChannelsSignal Generation 📊
Describes the methods by which the indicator produces trading signalsBollinger Bands- BreakoutsBollinger Bands generates trading signals through Breakouts. Indicators that identify when price breaks key levels, signaling potential trends
- ThresholdsBollinger Bands generates trading signals through Thresholds. Indicators that generate signals when certain predefined levels or conditions are met
Moving Average Convergence Divergence (MACD)- CrossoversMoving Average Convergence Divergence (MACD) generates trading signals through Crossovers. Indicators that generate signals when one line crosses another, indicating trend changes
- DivergencesMoving Average Convergence Divergence (MACD) generates trading signals through Divergences. Indicators that show discrepancies between price and indicator movements, suggesting potential reversals
Keltner Channels- BreakoutsKeltner Channels generates trading signals through Breakouts. Indicators that identify when price breaks key levels, signaling potential trends
Customization Options 🔧
Lists the parameters that can be adjusted to fine-tune the indicatorFor all*
Usage Comparison
For whom 👥
The target audience or user group for the trading indicatorBollinger BandsMoving Average Convergence Divergence (MACD)Keltner ChannelsPurpose 📈
The primary purpose or application of the trading indicatorBollinger BandsMoving Average Convergence Divergence (MACD)Keltner Channels
Evaluation Comparison
Pros 👍
Advantages of using the trading indicatorBollinger Bands- Adapts To Market VolatilityIndicators that adjust to changing market conditions and volatility levels
- Useful For Multiple Strategies
Moving Average Convergence Divergence (MACD)- Effective For Trend Identification
- Useful In Ranging Markets
Keltner Channels- Less Sensitive To Spikes Than Bollinger BandsProvides more stable signals in volatile markets compared to Bollinger Bands
- Good For Identifying Trends
Cons 👎
Disadvantages or limitations of the trading indicatorBollinger Bands- Can Be Less Effective In Trending Markets
Moving Average Convergence Divergence (MACD)- Can Produce False Signals In Choppy MarketsIndicators that minimize false signals in erratic or indecisive market conditions Click to see all.
- Lagging IndicatorIndicators that follow price action, potentially delaying trading signals in fast-moving markets. Click to see all.
Keltner Channels
Performance Metrics Comparison
Reliability Score 💯
A score indicating the overall reliability of the trading indicatorBollinger BandsMoving Average Convergence Divergence (MACD)Keltner ChannelsEase of Use Score 💻
A score representing how user-friendly and intuitive the trading indicator isBollinger BandsMoving Average Convergence Divergence (MACD)Keltner ChannelsVersatility Score 🔀
A score indicating the adaptability of the trading indicator across different markets and timeframesBollinger BandsMoving Average Convergence Divergence (MACD)Keltner ChannelsCustomization Score 🔧
A score representing the degree of customization available for the trading indicatorBollinger Bands- 8The customization score for Bollinger Bands is 8 out of 10.
Moving Average Convergence Divergence (MACD)- 7The customization score for Moving Average Convergence Divergence (MACD) is 7 out of 10.
Keltner Channels- 8The customization score for Keltner Channels is 8 out of 10.
Score ⭐
The overall score of the trading indicator based on various performance metricsBollinger BandsMoving Average Convergence Divergence (MACD)Keltner Channels
Alternatives to Bollinger Bands
Slow Stochastic
Known for Momentum Measurement
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is more reliable than Moving Average Convergence Divergence (MACD)
Exponential Moving Average (EMA)
Known for Smooth Price Movements
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is more reliable than Moving Average Convergence Divergence (MACD)
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is easier to use than Moving Average Convergence Divergence (MACD)
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is rated higher overall than Moving Average Convergence Divergence (MACD)
Directional Movement Index (DMI)
Known for Strength Of Price Movement
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is more reliable than Moving Average Convergence Divergence (MACD)
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is more customizable than Moving Average Convergence Divergence (MACD)
Hull Moving Average (HMA)
Known for Reducing Lag In Moving Averages
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is more reliable than Moving Average Convergence Divergence (MACD)
Percentage Price Oscillator (PPO)
Known for Relative Strength Measurement
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is more customizable than Moving Average Convergence Divergence (MACD)