Bollinger Bands ETS

Overview
Bollinger Bands ETstyle (BB ETS) is an advanced volatility and breakout detection indicator, building upon the classic Bollinger Bands. This script introduces adaptive ATR-based band width smoothing and clear squeeze detection, making it a versatile tool for traders seeking more responsive and actionable volatility analysis.

Features
Dual Bollinger Bands: Plots both standard and outer bands around a configurable moving average, allowing visualization of typical and extreme volatility ranges.

ATR-Based Band Smoothing (Optional): When enabled, the bands automatically widen during low-volatility periods using the Average True Range (ATR), reducing false signals and making the bands more adaptive.

Squeeze Detection (Optional): Highlights periods when the bands contract below a user-defined threshold, signaling potential breakout setups. Squeeze periods are visually marked with a background highlight for easy identification.

Customizable Settings: Users can adjust band length, standard deviation multipliers, ATR parameters, and squeeze thresholds. Both ATR smoothing and squeeze detection can be toggled on or off.

Clean Chart Output: The indicator overlays directly on price with clear, distinguishable visuals for all features.

How It Works
The indicator calculates a moving average (basis) and plots upper and lower bands at user-selected standard deviations.

If ATR smoothing is enabled, the band width expands by a multiple of the ATR, adapting to real-time volatility.

The script computes the relative band width ("bandwidth"). When this falls below your chosen threshold, the background is highlighted to indicate a "squeeze"-a period of reduced volatility that often precedes breakouts.

How to Use
Trend & Volatility Analysis: Use the bands to identify overbought/oversold conditions and current market volatility. Price touching or crossing the outer bands may signal trend exhaustion or continuation.

Breakout Anticipation: Watch for background highlights indicating a squeeze. These periods suggest the market is coiling for a potential significant move.

Adaptive Sensitivity: Enable ATR smoothing to keep bands relevant during both calm and volatile markets, reducing false signals in low-volatility conditions.

Customization: Adjust all parameters in the settings to match your trading style and the asset’s behavior.

Limitations
The indicator is designed for standard price charts and may not perform as intended on non-standard chart types (such as Renko or Heikin Ashi).

As with all technical tools, best results are achieved when used alongside other forms of analysis.

Summary
Bollinger Bands ETstyle (BB ETS) offers a modern, adaptive approach to volatility and breakout analysis by combining classic bands with ATR-based smoothing and clear squeeze visualization. It is suitable for trend-following and breakout strategies, and requires no additional scripts-simply apply to your chart and adjust the settings as needed.