ATR
IO_ATR_MAThis is an ATR+MA indicator.. the general idea is:
- when ATR is higher than MA, volatility is high
- when ATR is lower than MA, volatility is low
ATR based Pivots mcbwHey everyone this is an exciting new script I have prepared for you.
I was reading an old forex bulletin article some time ago when I came across this: solar.murty.net (or you can download the full bulletin with lots of other good articles here: www.forexfactory.com).
You can already buy this for metatrader (www.mql5.com) so I figured to make it for free for tradingview.
This bulletin suggested that you can reasonably predict daily volatility by adding or subtracting multiples of the daily ATR to the daily opening. Using this you can choose multiples to use as price targets and alternatively as stop losses. For example, if you already have a sense of market direction you can buy at market open place a stop loss at - 1 daily ATR and a profit target at + 3 ATRs for a risk to reward ratio of 3. If you are looking for smaller/quicker moves with a ratio of 3 you can have a stop loss at -0.25 ATR and a take profit at +0.75 ATR.
Alternatively this article also suggests to use this method to catch volatility breakouts. If price is higher than the + 1 ATR area then you can safely assume it will be going to the +2 ATR area so you can put a buy stop at + 1 ATR with a profit target at + 2 ATR with a stop loss at +0.5 ATR to catch a volatility breakout with a risk to reward ratio of 2!
Even further there are methods that you can use with ATRs of multiple window sizes, for example by opening two copies of this indicator and measuring recent volatility with a 1 week window and long term volatility within a 1 month window. If the short term volatility is crossing the long term volatility then there is a high probability chance that even more price movement will occur.
However I have found that this method is good for more than daily volatility , it can also be used to measure weekly volatility , and monthly volatility and use these multiples as good long term price targets.
To select if you want daily, weekly, or monthly values of the ATR of volatility you're using go to the settings and click on the options in the "Opening period". The default window of the ATR here is 14 periods, but you can change this if you want to in "ATR period". Most importantly you are able to select which multiples of the ATR you would like to use in the settings in "ATR multiple 1" which is the green line, "ATR multiple 2" which is the blue line, and "ATR multiple 3" which is the purple line. You can select any values you want to put in these, the choice of 0.25, 0.5, and 1 is not special, some people use fibonacci numbers here or simply 0.33, 0.66, and 0.99.
Repainting issue: This script uses the daily value of the Average True Range (ATR), which measures the volatility that is happening today. If price becomes more volatile then the value of the ATR can increase throughout the day, but it can never decrease. What this means is that the ATR based pivots are able to expand away from the opening price, which should not affect the trades that you take based on these areas. If you base your take profit on one of these ATR multiples and the daily volatility increase this means that your take profit area will be closer to your entry than the ATR multiple. Meaning that your trades will be more conservative.
While this all may sound very technical it is super intuitive, throw this on your chart and play around with it :)
Happy trading!
Average True Range ShiftThis indicator builds on the idea of the Average True Range (ATR) as a way of measuring volatility. It uses two different ATRs to show a shift in market volatility.
It is mainly composed of two moving averages of ATR. One fast moving, which looks back at the previous 5 periods. One slow moving, which looks back at the previous 21 periods. Both ATRs have been normalized (show percentage instead of an absolute amount). The third component of this indicator is the histogram that is created by subtracting the slow moving average, from the fast moving average.
By having two ATRs of different lengths, traders can see how short term volatility compares to long term volatility, and how it is shifting over time. When the fast-moving crosses above the slow-moving, it will show a positive value on the histogram, meaning that short term volatility is increasing and higher than normal. When it crosses below, it will show a negative value on the histogram, meaning that short term volatility is decreasing, and lower than normal.
There are a variety of ways to utilize this indicator, and it will work in most markets. I find it is best to analyze macro market conditions on daily charts and above, rather than micro intraday moves.
ATR SL Visualization (on chart)This indicator plots 2 sets of dots (and lines) based on your chosen ATR multiplier (Average True Range).
Generally, when trading on the daily timeframe a good rule of thumb is to use the ATR * 1.5 (the default setting of this indicator).
I created this indicator to quickly test other indicators but I also find it helpful in live trading.
How to use this indicator:
Your trade system provides an entry signal. The red dot (can be connected line in options) would be used as the stop loss for either a long or short.
Then the dot on the other side would be your first 1:1 target.
The blue line is the same ATR multiplier as a target (default but can be modified).
Using an additional tool like the horizontal ray can be helpful to see the exact location the SL might be hit or where the target might hit.
When drawing your ray ensure you’re using the right entry candle.
For instance, in a long scenario you would typically be entering a trade after your signal candle closes. So draw the ray at the point in price on the next candle for both stop loss and target.
Also use these dots (lines) as guides provides an easy way to plot SL and targets if you want to use the Long or Short tool.
For my trade systems I don’t use price targets (I exit when structure or indicators reveal to exit) but I do find it helpful to graph when testing. When something moves in my favor either the ATR or the ATR * 1.5 I take profit and typically move up my stop loss to break even or trailing.
The other strategy that could be possible but have not tested is as long as the SL is making a new high moving up a hard stop to the ATR SL each day the trade goes in your favor.
This should be obvious but if you want to use just the true ATR edit the multiplier to be 1.0
ATR for Trailing StopAn ATR (Average True Range) can be used to position a trailing stop
In this script, the true range of today is calculated based on the low of yesterday in order to be more stable.
It only goes up, as a trailing stop should do.
It only goes down when the trailing stop is reached by the price.
ATR for Trailing StopThe calculation of this ATR is based on the low of yesterday in order to not change continuously during the day.
You can use this indicator to create a trailing stop taking into account volatility on the nATRPeriod previous days.
It also always go up as a trailing stop should. It only goes down the price reaches the trailing stop.
xSuperTrend_AGThis is only for education purpose.
Sell if the below line cross to above.
But if the above line cross to below.
PA Extremely Early version
Experimenting with traditional "market structure" and candlestick patterns for trend analysis
HMA_ATR_TSIA combination of signals trigger this strategy.
HMA crossovers (short period & long period) -Hull moving average-
ATR (smoothed with HMA ) -Average true range-
TSI -True strength index-
The final close price is not known until right at the end of the bar.
This means that the indicator is constantly “repainting” during the bar.
You will see that indicators are constantly moving with each tick received
Use Open instead, the value is set and does not change even after refreshing the page.
An attempt to reduce repainting.
INDICATOR VERSION FOR USE WITH ALERTS
Megatrend Alerts — SharkCIAThis method of trend analysis uses breakouts from the Average True Range to determine if an instrument is bullish or bearish.
AG ATR ImpulseThis is an indicator we built to look for "Impulse" moves in the markets. It uses Average True Range (ATR) calculations. We use a fastATR setting of 1 to show the current candle/period's ATR. The black line is a second, slowATR, that we use to see whether the fastATR is higher than the slowATR. If so, the bar is green, if not, grey.
The background is coloured by a "Change Factor" that can be customised. It essentially uses more ATR calculations to suggest whether to be looking for longs (green background) or shorts (red background). Setting the Change Factor lower than default to 1 makes the underlying calculations more sensitive, and thus, the background filter will change more often, but the signal will have less accuracy. Setting the Change Factor higher than default to, say, 3, will make the underlying calculations less sensitive, and thus, the background filter will change less often, but the signal will be more accurate.
In the chart example attached, I have included some trade ideas that could have been taken using this indicator to give you an idea of how to use the indicator.
THD ATR Support & ResistanceThe TradersHelpDesk ATR Support & Resistance indicator identifies the support and resistance based on average true range for multiple timeframes. For more information, click here.
THD Trend ATRThe THD Trend ATR identifies current trend (blue for uptrend, red for downtrend) and support and resistance using the average true range stop algorithms. The lowest point of risk is always at the ATR (either the plus signs or the dots). Simply wait for a bar in the direction of the trend to form (bullish for an uptrend and bearish for a downtrend).
Normalized Average True RangeThis is a Normalized ATR, which means it displays ATR as a percentage instead of absolute price. For example, a value of 1 indicates a true range of 1% in a given period.
This indicator creates a moving average of the volatility of a product going back X number of periods and is useful for deciding what to trade. For example, if used on a daily chart, one product displays a value of 4 you can reasonably expect it to have larger price swings and movement compared to another product that displays 1.
It does not predict direction, rather the size of moves.
ATRMSRATRMSR
MTF ATR Horizontal S/R deviations
MTF ATR trailing stops
MTF ATR High/low
Will be updated soon.
V.01
Improved Multi-Timeframe (MTF) 21 ATR - plots same as live dataThis multi-timeframe 21-period average true range uses an improved calculation to accurately calculate the indicator's value with every new bar on the time frame your chart is set to. Previously the indicator only recalculated with every new update on the timeframe used in its security function. This means that this improved script plots the real, current value of your indicator across your chosen timeframes on your chart's resolution and no longer only plots only the indicator's monthly/weekly/daily/4 hour/ect closing value on the your chart.
Input values are fixed to their default (close,21) configuration to make this indicator's improved calculation possible.
When using "Plot Higher Timeframe?" the script will set the indicator to only plot its value in closest larger timeframe. This option overrides the two following options. For example, when using the daily resolution , only the weekly value will plot, or when using the one hour (60m) resolution, only the 4 hour (240m) value will plot.
The "Omit Higher Timeframes?" option will set the indicator to only plot starting from the 1/2/3/4/5/6/7th closest larger timeframe. For example, when using the daily resolution and this option set to 0, all values from the weekly resolution and up will plot, but if set to 1, all values from the monthly resolution and up will plot instead.
The "Plot Yearly/Quarterly/Monthly/Weekly/Daily/4 Hour/1 Hour/15 Minute/5 Minute?" options allow enabling/disabling a specific timeframe. All are enabled by default. For example, if you do not want the yearly value of the indicator to ever plot, you can disable the "Plot Yearly?" option.
Basecamp AutoFibAutomatic Fibonacci Support and Resistance derived from the recent Average True Range.
This tool is used as a guideline for where mathematically evident support and resistances are estimated to be.
Unlike typical methods, this will adjust as candles print and the ATR expands or contracts assisting the user in ensuring realistic price targets relative to the current movement.
True Range AutoFibAutomatic Adjusting Fib Support and Resistance
Adjustable Candle Length Average True Range centered on the 34 MA Fibonacci Support and Resistance lines for all timescales on all instruments.
**These lines do move as candles print adjusting slowly to the changing ATR. This generally should indicate the realistic expected move for the current time frame.
RSI-ATR Divine StrategyLive, non-repainting strategy using ATR and RSI mixed together to take long and short positions. Includes:
Live entry direction with trade warnings and alerts
Live trade building buy and sell stops (for buy/sell stop limits)
Entry location icons as well as pyramid entries (to add to existing position)
3 separate targets based on the ATR setting and entry location
2 separate trailing stops, 1 for "absolute stop" and 1 for "take profit stop"
Alert conditions for every update and condition change of the strategy
4 pre-built color themes, including candlestick coloring
This strategy is best used with my RSI Shaded Indicator using the identical RSI settings.
Manual Back Test LinesI created this indicator to primarily manually test other indicators in replay mode.
To use this indicator generally you will:
Select trade type: long or short
Enter your ATR (enter the actual ATR). The indicator will then calculate and plot your SL and targets based on your values
Default Stop Loss is ATR * 1.5
Default Target 1 is ATR * 1.5
Default Target 2 is ATR * 3
Using this indicator on Replay mode is great. What you do is go back in time. Hit play and as the indicator(s) you use provide signals pause.
Pull up options:
Select trade type
Update ATR value
Change date to entry date. Typically if you are trading off the daily timeframe you are going to wait for your current day candle to close to provide signal. That would mean your entry would be on the next day.
Click play and watch, track and record how trade unfolds.
Future updates:
I'd like to be able to have some way to click one button and have it fire that enter trade right now on chart. Also I'm working on figuring out how to calculate the ATR on the entry date so that isn't required to be entered.
Finally, I'd like to have some auto calculation on when targets and SL are hit. I have this partially done but it's more important that I use this indicator than spend time or funds to update it to do that. But I do plan on updating.
