You are here: Technical Analytics > Chart Indicators > Average True Range Indicator

Apply an Average True Range Indicator

The Average True Range indicator is used to determine the volatility of the market. The idea is to replace the high-low interval for the given period, as the high-low does not take into consideration gaps and limit moves. You set the period when you create the study.

The True Range is the largest of:

The Average True Range is a simple moving average of the true range values.

 

To apply an Average True Range

  1. From within a chart, from the Edit menu select Studies.
  2. Choose Average True Range and Add the study.
  3. Complete parameters as necessary.

 

Important Disclosures