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The use of Bollinger Bands varies widely among traders. Some traders buy when the price touches the lower Bollinger Band and exit when the price touches the moving average in the center of the bands. Other traders buy when the price breaks above the upper Bollinger Band or sell when the price falls below the lower Bollinger Band. Moreover, the use of Bollinger Bands is not confined to stock traders; options traders, most notably implied volatility traders, often sell options when Bollinger Bands are historically far apart or buy options when the Bollinger Bands are historically close together, in both instances, expecting volatility to revert back towards the average historical volatility level for the stock.
When the bands lie close together a period of low volatility in stock price is indicated. When they are far apart a period of high volatility in price is indicated. When the bands have only a slight slope and lie approximately parallel for an extended time the price of a stock will be found to oscillate up and down between the bands as though in a channel.
Traders are often inclined to use Bollinger Bands with other indicators to see if there is confirmation. In particular, the use of an oscillator like Bollinger Bands will often be coupled with a non-oscillator indicator like chart patterns or a trendline; if these indicators confirm the recommendation of the Bollinger Bands, the trader will have greater evidence that what the Bands forecast is correct.
source: www.wikipedia.org
High Low Bands Interpretation
High Low Bands consist of triangular moving averages calculated from the underling price, shifted up and down by a fixed percentage, and include a median value.
When prices rise above the upper band or fall below the lower band, a change in direction may occur when the price penetrates the band after a small reversal from the opposite direction.
Moving Average Envelope Interpretation
Moving Average Envelopes consist of moving averages calculated from the underling price, shifted up and down by a fixed percentage.Moving Average Envelopes (or trading bands) can be imposed over an actual price or another indicator.When prices rise above the upper band or fall below the lower band, a change in direction may occur when the price penetrates the band after a small reversal from the opposite direction.
Median Price Interpretation
A Median Price is simply an average of one period’s high and low values. A Median Price is often used as an alternative way of viewing price action, and also as a component for calculating other indicators.
Standard Deviations Interpretation
Standard Deviation is a common statistical calculation that measures volatility. Other technical indicators are often calculated using standard deviations.
Major highs and lows often accompany extreme volatility. High values of standard deviations indicate that the price or indicator is more volatile than usual.
Typical Price Interpretation
A Typical Price is simply an average of one period’s high, low, and closing values.
A Typical Price is often used as an alternative way of viewing price action, and also as a component for calculating other indicators.
Volume Rate of Change (ROC)
The Volume Rate of Change indicator shows clearly whether or not volume is trending in one direction or another.
Weighted Close Interpretation
Weighted Close is an average of each day’s open, high, low, and close, where more weight is placed on the close. The Weighted Close indicator is a simple method that offers a simplistic view of market prices.
Accumulation Swing Index Interpretation
The Accumulation Swing Index (Wilder) is a cumulative total of the Swing Index. The Accumulation Swing Index may be analyzed using technical indicators, line studies, and chart patterns, as an alternative view of price action.
Average True Range Interpretation
The Average True Range (Wilder) measures market volatility. High ATR values may signal market bottoms, and low ATR values may signal neutral markets.
Comparative Relative Strength Interpretation
The Comparative Relative Strength index divides one price field by another price field. The base security is outperforming the other security when the Comparative RSI is trending upwards.
Mass Index Interpretation
The Mass Index identifies price changes by indexing the narrowing and widening change between high and low prices. According to the inventor of the Mass Index, reversals may occur when a 25-period Mass Index rises above 27 or falls below 26.5.
Money Flow Index Interpretation
The Money Flow Index measures money flow of a security, using volume and price for calculations. Market bottoms below 20 and tops above 80. Divergence of price and Money Flow Index are also used.
Negative Volume Index Interpretation
The Negative Volume Index shows focus on periods when volume decreases from the previous period. The interpretation of the Negative Volume Index is that well-informed investors are buying when the index falls and uninformed investors are buying when the index rises.
On Balance Volume Interpretation
The On Balance Volume indicator shows a relationship of price and volume as a momentum index. On Balance Volume index generally precedes actual price movements. The premise is that well-informed investors are buying when the index rises and uninformed investors are buying when the index falls.
Performance Interpretation
The Performance indicator calculates price performance as a normalized value or percentage. A Performance indicator shows the price of a security as a normalized value. If the Performance indicator shows 50, then the price of the underlying security has increased 50% since the start of the Performance indicator calculations. Conversely, if the indictor shows 50, then the price of the underlying security has decreased 50% since the start of the Performance indicator calculations.
Positive Volume Index Interpretation
The Positive Volume Index shows focus on periods when volume increases from the previous period. The interpretation of the Positive Volume Index is that many investors are buying when the index rises, and selling when the index falls.
Price and Volume Trend Interpretation
The Price and Volume Trend index is closely related to the On Balance Volume index. The Price and Volume Trend index generally precedes actual price movements. The premise is that well-informed investors are buying when the index rises and uninformed investors are buying when the index falls.
Relative Strength Index (RSI) Interpretation
The RSI (Wilder) is a popular indicator that shows comparative price strength within a single security. 9, 14, and 25 period RSI calculations are most popular. The most widely used method for interpreting the RSI is price/RSI divergence, support/resistance levels and RSI chart formations.
Swing Index Interpretation
The Swing Index (Wilder) is a popular indicator that shows comparative price strength within a single security by comparing the current open, high, low and closing prices with previous prices. The Swing Index is a component of the Accumulation Swing Index.
Trade Volume Index Interpretation
The Trade Volume index shows whether a security is being accumulated or distributed (similar to the Accumulation/Distribution index). When the indicator is rising, the security is said to be accumulating. Conversely, when the indicator is falling, the security is said to being distributing. Prices may reverse when the indicator converges with price.
Williams’ Accumulation/Distribution Interpretation
The Accumulation/Distribution indicator shows a relationship of price and volume. When the indicator is rising, the security is said to be accumulating. Conversely, when the indicator is falling, the security is said to being distributing. Prices may reverse when the indicator converges with price.
Quadrant Lines Interpretation
Quadrant Lines measure the highest highs and lowest lows over a specified period of time, and divided these values into quadrants. Quadrant Lines are most often used as a visual aid for price movement inspection.
Speed Resistance Lines Interpretation
Speed Resistance Lines (or 1/3 – 2/3 fan lines) is a group of trendlines that divide a price change into three equal partitions. The degree of slope for each trendline differs slightly. Prices are usually expected to have support and resistance near these trendlines.
Tirone Levels Interpretation
Tirone Levels is a group of horizontal trend lines that are meant to identify support and resistance levels. Prices are usually expected to have support and resistance near Tirone Levels.
Linear Regression Interpretation
Linear regression is a common statistical method used to forecast values using least squares fit. The TA-SDK LinearRegression class contains two functions. The base Function: Regression returns a Recordset object containing four Field objects: R-Squared, Forecast, Slope, and Intercept. Where R-Squared is the coefficient of determination, Forecast is the linear regression forecasted value for the next period, Slope is the slope value for the periods being analyzed and Intercept is the end period’s Y intercept value.
Time Series Forecast Interpretation
The Time Series Forecast shows the Forecast value for the next period, as calculated by linear regression. A Time Series Forecast may be interpreted as a moving average. The difference is that a Time Series Forecast adapts more quickly to price change than a standard moving average.
Exponential Moving Average Interpretation
An Exponential Moving Average is similar to a Simple Moving Average. An EMA is calculated by applying a small percentage of the current value to the previous value. An EMA applies more weight to recent values. A Moving Average is most often used to average values for a smoother representation of the underlying price or indicator.
Simple Moving Average Interpretation
The Simple Moving Average is simply an average of values over a specified period of time. A Moving Average is most often used to average values for a smoother representation of the underlying price or indicator.
Triangular Moving Average Interpretation
The Triangular Moving Average is similar to a Simple Moving Average, except that more weight is given to the price in the middle of the moving average periods. A Moving Average is most often used to average values for a smoother representation of the underlying price or indicator.
Variable Moving Average Interpretation
A Variable Moving Average is an exponential moving average that adjusts to volatility. A Moving Average is most often used to average values for a smoother representation of the underlying price or indicator.
VIDYA Interpretation
VIDYA (Volatility Index Dynamic Average), developed by Chande, is a moving average derived from linear regression R2. A Moving Average is most often used to average values for a smoother representation of the underlying price or indicator. Because VIDYA is a derivative of linear regression, it quickly adapts to volatility.
Weighted Moving Average Interpretation
A Weighted Moving Average places more weight on recent values and less weight on older values. A Moving Average is most often used to average values for a smoother representation of the underlying price or indicator.
Chaikin Volatility Oscillator Interpretation
The Chaikin Volatility Oscillator is a moving average derivative of the Accumulation/Distribution index. The Chaikin Volatility Oscillator adjusts with respect to volatility, independent of long-term price action. ROC is a integer specifying the Rate of Change to use in the Chaikin calculations.
Chande Momentum Oscillator (CMO) Interpretation
The Chande Momentum Oscillator (Chande) is an advanced momentum oscillator derived from linear regression Increasingly high values of CMO may indicate that prices are trending strongly upwards. Conversely, increasingly low values of CMO may indicate that prices are trending strongly downwards. CMO is related to MACD and Price Rate of Change (ROC).
Detrended Price Oscillator Interpretation
The Detrened Price Oscillator is used when long-term trends or outliers must be removed from prices or index indicators. This indicator is often used to supplement a standard price chart. Other indicators can be plotted over the Detreneded Price Oscillator.
Ease of Movement Interpretation
The Ease of Movement oscillator shows a unique relationship between price change and volume. The Ease of Movement oscillator rises when prices are trending upwards under low volume, and likewise, the Ease of Movement oscillator falls when prices are trending downwards under low volume.
Moving Average Convergence / Divergence (MACD) Interpretation
The MACD is a moving average oscillator that shows potential overbought/oversold phases of market fluctuation. The MACD is a calculation of two moving averages of the underlying price/indicator. Buy/Sell interpretations may be derived from crossovers (calculated from the SignalPeriods argument), overbought/oversold levels of the MACD and divergences between MACD and actual price.
Momentum Interpretation
The momentum indicator calculates change of over a specified length of time as a ratio. Increasingly high values of the momentum oscillator may indicate that prices are trending strongly upwards. The momentum oscillator is closely related to MACD and Price Rate of Change (ROC).
Price Oscillator Interpretation
The Price Oscillator shows a spread of two moving averages. The Price Oscillator is basically a moving average spread. Buying usually occurs when the oscillator rises, and conversely, selling usually occurs when the oscillator falls.
Stochastic Oscillator Interpretation
The Stochastic Oscillator is a popular indicator that shows where a security’s price has closed in proportion to its closing price range over a specified period of time.
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Fundamentals 
