What Is The Average True Range Indicator & How To Trade With It

Average True Range Explained

The Average True Range (ATR) indicator was developed and proposed as a technical indicator by Welles Wilder. It does not determine the direction of the trend in the market but acts solely as a measure of its volatility. Initially, its use was assumed in commodity markets, which are characterized by price gaps (gaps) and price limits (the limit of maximum price movement during a trading session established by the futures exchange). However, later the ATR indicator was widely used to analyze others, in particular the forex market. What is the ATR indicator? The author of the theoretical basis for calculating …READ MORE