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Video of How to draw Bollinger Band in R language ? in R Programming Language course by Unboxing Big Data channel, video No. 34 free certified online
Bollinger Bands were developed by technical trader John Bollinger
Designed to give investors a higher probability of identifying when an asset is oversold or overbought.
Quantmod stands for quantitative financial modelling framework.
It has two main functions:
1. download data
2. charting
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INSTALLING PACKAGE
install.packages("quantmod")
library(quantmod)
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DOWNLOADING DATA
Use getSymbols to get data from yahoo or Google (default is yahoo)
getSymbols("AAPL")
head(AAPL,n3)
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Quantmod draw nice charts of following common types:
line
bars
candlesticks
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The line chart displays closing price of the stock.
chartSeries(AAPL,
type"line",
subset'2007',
themechartTheme('white'))
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The bar chart displays open, high, low, close, and volume closing price of the stock.
The top of the bar is high and the bottom of the bar is low.
The left stick is open and the right stick is close.
If the close is higher than open, the bar is green color. Otherwise, it is in orange color.
chartSeries(AAPL,
type"bar",
subset'2007-05::2007-06',
themechartTheme('white'))
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A candle stick chart is very similar to a bar chart.
It also displays open, high, low, close, and volume closing price of the stock.
chartSeries(AAPL,
type"candlesticks",
subset'2007-05',
up.col 'white',
down.col 'black',
themechartTheme('white'))
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BOLLINGER BAND
A channel (or band) is an area that surrounds a trend within which price movement does not indicate formation of a new trend.
chartSeries(AAPL,
subset'2007-05::2009-01',
themechartTheme('white'))
addBBands(n20,sd2)