Pav asked:
I’m having trouble understanding what the purpose of mean, standard deviations are. For instance they are used in Bollinger Bands.
I’m having trouble understanding what the purpose of mean, standard deviations are. For instance they are used in Bollinger Bands.
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hey there,
The mean is simply the arithmetic average. It is the sum divided by the number of observations.
The standard deviations is how the data deviates or fluctuates away from the mean. It is standardised so that the unit of measurement is interpreteable.
Hope this helps