Skip to main content
|View as Markdown||

AIMS Bubble: Volatility Bands & Mean Reversion

AIMS Bubble supplies volatility-band and stretch information. Compare the completed price with its midline, centre bands and containment bands, then read the product's current state separately.

What You See on the Chart​

These supplied guides isolate a close outside containment followed by a close back inside. The values are scripted, not calculated EMA/ATR. The exercise reference is not a generated Bubble signal.

AIMS Bubble · scripted band geometry

Bubble: read stretch and return

    Midline: 1: 50; 2: 51; 3: 52; 4: 53; 5: 54; 6: 55; 7: 56

    Centre upper: 1: 57; 2: 58; 3: 59; 4: 60; 5: 61; 6: 62; 7: 63

    Centre lower: 1: 43; 2: 44; 3: 45; 4: 46; 5: 47; 6: 48; 7: 49

    Containment upper: 1: 63; 2: 64; 3: 65; 4: 66; 5: 67; 6: 68; 7: 69

    Containment lower: 1: 37; 2: 38; 3: 39; 4: 40; 5: 41; 6: 42; 7: 43

    7 / 7 completed candles

    Containment return: Candle 7 closes at 65 below its supplied upper guide of 69. This return is not, by itself, a SnapBack signal.

    What was known

    1. After candle 4: Four completed candles are inside the supplied containment guides.
    2. After candle 6: Two completed closes are above their supplied upper containment guides. A return is not known yet.
    3. After candle 7: Candle 7 closes at 65 below its supplied upper guide of 69. This return is not, by itself, a SnapBack signal.

    Candles: blue closes at or above the open; red closes below the open.

    Candle 7 closes at 65 below its supplied upper guide of 69. This return is not, by itself, a SnapBack signal.

    These bands are supplied values, not calculated EMA/ATR. The real SnapBack depends on the episode, centre return and slope conditions; no generated signal is claimed here.

    Designed candles · illustrative price units · no market dataset
    Scripted midline/centre/containment values · reference marker only, not Bubble output

    Candle data and roles
    Illustrative OHLC values in candle order
    CandleOpenHighLowCloseRole
    150544852Inside the supplied containment guides
    252585056Inside the supplied containment guides
    356615459Inside the supplied containment guides
    459655762Approaching the supplied upper guide
    562726068Close 68 exceeds upper containment guide 67
    668746670Close 70 exceeds upper containment guide 68
    770726365Close 65 returns below upper containment guide 69

    Chart rendered with TradingView Lightweight Charts™.

    Visual Chart Elements​

    • Midline: the central price reference.
    • Centre bands: the closer band boundaries used in pullback context.
    • Containment bands: the wider boundaries used to read extension.
    • Bubble signal markers: the MT5 product distinguishes its circle markers from Banana arrows. This schematic only marks the exercise reference.

    Band positions adapt to the configured calculation on the real chart. They are not fixed support/resistance, and no fixed percentage of future prices is guaranteed to remain inside.

    The Three Market Regimes​

    Price location and market regime are related reads, not interchangeable labels:

    ReadWhat to review
    Pulled-back / centre areaPrice relative to the midline and centre bands
    Band ridePersistent extension together with the product's trend/episode context
    Blow-off / extensionStretch together with the product's episode classification; a later reversal is not assured

    Do not infer a complete regime or signal from one candle's location alone.

    How to read stretch and return​

    1. Identify the supplied band values for the completed candle.
    2. Compare its close with the containment boundary; distinguish a wick crossing from a close outside.
    3. When price returns inside containment, record that fact separately from a return to the centre area.
    4. Read the actual signal and state. The SnapBack logic also depends on the episode, centre return and slope conditions; containment return alone is insufficient.

    The lesson stops at the containment-return comparison. It does not prescribe a fade, entry or exit.

    Essential User Settings​

    The MT5 inputs include Midline MA period, Midline MA method, ATR period, Centre band and Containment band. Read the installed indicator's values; the schematic does not provide recommended settings or defaults.

    Frequently Asked Questions​

    Can price continue moving outside the outer containment band?​

    Yes. Extension can persist. An outside close does not guarantee a snap-back, and an inside-containment close does not by itself establish the product's SnapBack signal.

    Does Bubble prevent losses?​

    No. It supplies chart information for review. Market risk, position sizing and execution conditions remain the user's responsibility.