Current ATR Volatility Band Increment: Descriptive or Predicitve?

As it turns out using the current ATR Volatility Bandwidth increment of 0.5 ATR's (0.5, 1.0, 1.5 ATR Bands), with the current ATR lookback period of 8 daily bars, shows the QQQQ finding intraday support at roughly -1.5 ATR's (35.63) from Friday's close.

Is this a coincidence and thus just appears to describe the current environment, or does it in fact have some predictive value of where future intraday pivots might form? I say its a good question.

I need to do some more research on the optimal ATR Volatility Bandwidth Increments to have more confidence in whatever bandwidth is ultimately used. Additionally, I need to pay attention to the following

• Deviation of Current Bar's ATR Volatility compared to average ATR Volatility during a large sample period (1-2 years worth of daily bars), would provide true historical deviation from the average, and thus might increase the predictive value of the ATR bands placed over the next bar's intraday chart, especially if the deviation forms a bell curve;


• We should also recognize that the number of Daily Bars that we are using for our lookback period is an important variable (currently using 8 bars) in the ATR Volatility calculation;


• Should the current days ATR Volatility be included in the Band calculation? Currently it is, but on days with higher than average volatility (like today), it will skew the bars outward. I will build a test version of the bands that does not use the current daily bar's ATR volatility.