[Teyo69] T1 ATR Standard Deviation Breakout Bands

🧭 OVERVIEW
[Teyo69] T1 ATR Standard Deviation Breakout Bands is a breakout tool designed to detect volatility-driven price expansion beyond statistically significant zones. It calculates real-time ATR-based standard deviation bands, dynamically tracking breakout conditions with adjustable smoothing. With flexible moving average types and the Kijun-sen as the default baseline, this indicator is built for traders who want to avoid fakeouts and only engage when volatility confirms conviction.

✨ FEATURES

• Utilizes ATR standard deviation for real-time volatility band calculations
  
• Supports multiple moving average types (EMA, SMA, WMA, etc.) including Kijun-sen by default
  
• Adjustable ATR multiplier to fine-tune breakout sensitivity
  
• Fully configurable length inputs and MA source types
  
• Identifies long opportunities when price closes above the upper band
  
• Identifies short opportunities when price closes below the lower band
  
• Ideal for trend continuation, momentum breakouts, and volatility-based filtering
  

🎯 HOW TO USE

• Apply the indicator on your preferred timeframe (works best on trending conditions).
  
• Set your baseline MA to match your system (default: Kijun-sen).
  
• Adjust the ATR period and multiplier to balance sensitivity vs. noise.
  
• Go long when the close breaks above the upper standard deviation band.
  
• Go short when the close breaks below the lower standard deviation band.
  
• Use Markers signals to highlight breakout moments.
  
• Can also be used to identify if price is ranging when it is in the gray area of the indicator
  

⚙️ CONFIGURATION

• Length: Period for the moving average and ATR
  
• MA Type: Choose from EMA, SMA, WMA, or Kijun-sen
  
• ATR Multiplier: Controls how wide the breakout bands are
  
• Source: Price type used for calculations (default: close)
  

⚠️ LIMITATIONS

• Standard deviation assumes price is statistically normal — not always true during news spikes
  
• Band expansion does not guarantee follow-through — use in conjunction with volume or trend filters
  

💡 ADVANCED TIPS

• Combine with a trend filter (e.g., 200 EMA) to trade only in the direction of the dominant trend
  
• Use wider ATR multipliers on lower timeframes to reduce noise
  
• Pair with oscillators (e.g., RSI, MACD) for breakout + momentum confluence setups
  
• For scalping, reduce the length but widen the multiplier slightly
  

📓 NOTES

• The standard deviation of ATR is used to capture how volatile volatility itself is. This reveals when the market is entering statistically significant price expansion.
  
• Why this matters: Standard deviation is a core statistical tool for understanding distribution outliers. When price exceeds the upper band, it is outside normal volatility expectations — signaling potential breakout strength.
  
• This indicator applies breakout theory to volatility, not just price action, offering a unique edge over classic Bollinger or Keltner bands.