TRADING GLOSSARY
Keltner channel
A Keltner channel is a volatility-based indicator with bands above and below a central moving average. Modern versions usually use an exponential moving average and a multiple of average true range, so the channel widens or narrows as measured volatility changes.
EXAMPLE
In a hypothetical setup, a central average of 100 and average true range of 3 produce bands at 106 and 94 when the multiplier is 2.
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Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure