Not advice Educational reference only — nothing here predicts a price. What the measured outcomes are · Sources
← Bands & channels

Stoller average range channel bands

STARCuntested

An SMA with ATR-based bands above and below it, used like Bollinger Bands to flag overbought/oversold extremes relative to recent volatility.

What the numbers mean

SMA 6, ATR 15, ×2

A short simple moving average at the centre, with bands set a multiple of ATR away — the ATR period is deliberately longer than the average so that band width reflects sustained volatility rather than the last few bars.

  • SMA 6 — a deliberately short centre line
  • ATR 15 — a deliberately long volatility lookback
  • ×2 — the multiplier setting band distance
  • The mismatch is intentional: a fast centre with slow width

How it is used

Read as a probable trading envelope: buying near the lower band and selling near the upper within a range, and treating closes outside the bands as the market moving out of its normal behaviour.

  • Buying near the lower band and selling near the upper within a range
  • A close outside either band → behaviour outside the security's normal envelope

How it relates to everything else

STARC bands are Keltner channels with a much faster centre line, so the whole channel travels with price instead of standing still. That makes them better for framing short-term trades and worse as a fixed reference level.

  • Same ATR width as Keltner, but a far shorter centre average
  • Fast centre means the bands chase price during strong moves
  • Read alongside ATR itself to know how wide the bands currently are in dollars

What to watch for

The short central average makes the whole channel shift quickly, so the bands chase price during fast moves instead of standing still as a reference.