Standard deviation
How widely the last N values spread around their average, in the input's own units: a volatility gauge.
Std is the standard deviation of the last N values of its input, the current bar included. It uses the sample formula, dividing by N minus 1. With the default input it measures how far the last 60 closes typically sit from their average, in dollars. It is zero when every value in the window is the same and grows as they spread out.
How to read it
- The line sits in its own pane, in the units of its input: dollars for the default close.
- Rising readings mean the values are spreading out, a sign of growing volatility.
- Falling readings mean they are bunching up; it never drops below zero.
What it outputs
- Standard deviation
- The sample standard deviation of the last N values, this bar included, in the input's units.
Settings
- Window
- How many bars the spread is measured over. Longer windows give a steadier reading that reacts slowly to a burst of volatility; shorter ones jump with each large bar.
Pitfalls
- It is in price units, so a higher-priced symbol shows a bigger Std for the same percent swings; divide by Avg to compare symbols.