STARC Bands (Stoller Average Range Channels) are volatility-based price channels that help forex traders determine overbought and oversold conditions, as well as trend strength. In this guide, we’ll explore how STARC Bands work, their advantages, and the best strategies to trade with them effectively.
The STARC Bands (Stoller Average Range Channels) indicator is a volatility-based channel developed by Manning Stoller. Unlike Bollinger Bands, which use standard deviations, STARC Bands incorporate the Average True Range (ATR) to create upper and lower boundaries that dynamically adjust to price volatility.
The STARC Bands formula is:
Where:
Traders use STARC Bands to identify potential reversals when price moves to extreme levels:
STARC Bands help confirm trend direction based on price position:
A strong price move beyond the upper or lower STARC Band can indicate a breakout:
Pairing STARC Bands with a moving average (e.g., 50 EMA) helps confirm trade entries:
✅ Pros:
❌ Cons:
The STARC Bands indicator is a versatile tool that helps traders identify price extremes, confirm trends, and manage volatility-based trading. When combined with moving averages or momentum indicators, STARC Bands enhance trade accuracy and risk management.
Join thousands of traders who trust VantoFX as their top trading provider. Experience the difference – trade with the best.
Don’t know which account will be best for you? Contact us.
VantoFX is a trading name of Vortex LLC, which is incorporated in St Vincent and the Grenadines, number 3433 LLC 2024 by the Registrar of Limited Liability Companies, and registered by the Financial Services Authority, and whose address is Suite 305, Griffith Corporate Centre, PO Box 1510, Beachmont Kingstown, St Vincent and the Grenadines.
The information on this site is not intended for residents of the United States or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Risk Warning: Trading Forex and CFDs carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Forex and CFDs may not be suitable for all investors, so please ensure that you fully understand the risks involved and seek independent advice if necessary.
© 2025 Vortex LLC. All rights reserved.
Donovan Ness
Customer Care Agent
Donovan
Hello. If you have any questions, feel free to contact us.