BOP

Overview of the Balance of Power calculation.

The Balance of Power indicator (BOP) measures the strength of buyers have to push prices higher against the power of sellers to move prices lower. When the indicator is in positive territory, the bulls are in charge; and conversely, the sellers control price when the indicator is negative. A reading near the zero line indicates a balance between the two and a possible trend reversal.

  /* BOP = (Close - Open)/(High - Low) */

The source code for the BOP function is available here. Some trading platforms offer a version of BOP with a moving average added and others do not. We offer Balance of Power exactly as TA-Lib provides without a moving average. As a result, when using BOP inside of your bots, there will be no difference in the value provided when assessing different lookback intervals.