Internal Bar Strength (IBS)

Internal Bar Strength (IBS) – is the indicator developed by Volker Knapp.

Calculation:

It is calculated as the moving average of the values of the strength of the internal bar that represent the ratio (Close-Low)/(High-Low) * 100% for each of them.

How to use:

The period that is equal to five bars is usually used. The crossing of 60% level means the overbuying and the crossing of 40% level means overselling, and so they are the signals for selling and buying respectively.