Dirty Squeeze Settings

The settings that John uses for the “Dirty Squeeze” as he likes to call it are as follows:

The Bollinger Bands are:
Price: Close
Length: 20
NumDevsUp: 2
NumDevsDn: -2
Displace: 0

The settings for the Keltner Channels are:
Price: Close
Length: 20
NumATRs: 1.5
Displace: 0

And the settings for the Momentum Oscillator are:
Price: Close
Length: 14

The Squeeze indicator is comprised of 3 separate indicators, the Bollinger Bands, Keltiner Channels, and a Momentum Oscillator. The strategy behind the squeeze is that when the bollinger bands are trading inside of the keltiner channels, the charted symbol is in a period of price consolidation. When the bollinger bands move outside of the keltiner channels, the squeeze has “fired”, and the charted symbol has reverted to a period of vertical price discovery. The momentum oscillator is used to determine the direction of the movement.