Understanding the TTM Squeeze oscillator presented using Personal Hotline from Trendsetter Software
The TTM Squeeze is a composite of three indicators... Bollinger Bands, Keltner Channels, and an oscillator. Markets have quiet periods, known as the squeeze, and volatile periods. The concept of the indicator is to let you know when the market is in a squeeze so you can prepare to trade and, through the oscillator, to predict the direction of the market for the volatile period. When the Bollinger Bands cross inside the Keltner Channels this indicates a squeeze is on and when the Bollinger Bands cross outside of the Keltner Channels and price is moving we're in a volatile period. The oscillator is an indicator of momentum, identifying the direction of the move. The move is over when the oscillator loses momentum.