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    Standard Deviation Channel (SDC)
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      Standard Deviation Channel (SDC)

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        Standard Deviation Channel (SDC) is a channel that consists of a linear regression line in the middle and support/resistance levels, which are standard deviations placed equidistantly above and below the middle line.

        The middle line is calculated as the linear regression for each bar:

        y = a + bx
        b = (nΣxy - ΣxΣy) / ( nΣx2 - (Σx)2 ))
        a = (Σy - bΣx) / n

        where:
        y – the data price source
        x – the number of bars
        a – the constant (the value when x equals zero)
        b – the slope of the line
        n – the number of data points selected

        The standard deviation is calculated as follows:

        StdDev = SQRT [SUM (Closen-1 - SMAn)^2)/N]

        where:
        SMA – n-period Simple Moving Average for current bar
        Close – close price for each of the past n periods
        N – calculation period

        Standard Deviation ChannelStandard Deviation Channel

        INPUTS

        InputDescription
        LengthThe number of bars used to calculate the Standard Deviation Channel
        Price
        The following data sources are available for the price:
        • Open. The Open Price of every bar for the specified period.
        • High. The High Price of every bar for the specified period. 
        • Low. The Low Price of every bar for the specified period.
        • Close. The Close Price of every bar for the specified period. 
        • Median. The Median Price of every bar for the specified period - (High + Low) / 2.
        • Typical. The sum of High, Low, and Close prices divided by 3 for the specified period- (High + Low + Close) / 3.
        • OHLC average. The arithmetical mean of High, Low, Open, and Close prices for the specified period - (Open + High + Low + Close) / 4.
        • Volume. The Close Price of every bar + average volume of an asset for the specified period.
        InputDescription
        DeviationsThe number of standard deviations between the Linear Regression Trendline and support/resistance lines

        PLOTS

        The plot renders the data you are working with on the chart. You can show/hide a plot by clicking the corresponding item in the settings. Every plot has a set of basic settings that you can change: color, weight, and type.

        PlotDescription
        LinRegThe Linear Regression Trendline plot
        ResistanceThe upper border of the Standard Deviation Channel
        SupportThe lower border of the Standard Deviation Channel
        Color

        Click the color rectangle under the plot's name to open the palette. Use the slider at the bottom to set the opacity of the color.

        Palette

        To create a custom color:

        1. Clickto open the color picker
        2. By using the slider at the bottom, adjust the main color
        3. Then, set a shade for the main color on the palette

        The custom-created colors are added to your palette. To remove a custom color, drag it out of the palette.

        Weight
        Change the value (in px) to adjust the thickness of the plot.
        Type
        The following plot types are available:
        • Linear. The plot is displayed as a line.
        • Column. The plot is displayed as a histogram.
        • Difference. The plot is displayed as a line which represents the difference between High and Low prices of the bar.
        • Points. The plot is displayed as points.
        • Text above candle. The plot is displayed as the price labels above candles on the chart.
        • Text below candle. The plot is displayed as the price labels below candles on the chart.
        • Triangle above candle. The plot is displayed as triangles above candles on the chart.
        • Color candle. The candles on candle-type charts are highlighted with specified colors.

        OVERLAYING

        Check Overlaying to display the indicator on the chart. Otherwise, the indicator is shown in a study pane down below.

        Note: To reset the settings, click Restore to Default next to the SETTINGS: INDICATOR'S TITLE
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