Average True Range

Average True range is the greatest of the following differences:

Today's futures high to today's futures low
Today's futures high to yesterday's futures close
Today's futures low to yesterday's futures close

The trade range is normally the "high - low". However, any time the value of yesterday's close is not within the trading range of today's bar, second above or the third above applies. As with most other technical indicators, the periodic value is summed and smoothed to create the final indicator.

 Arms Ease of Movement             Technical Analysis Terms             Bollinger Bands 

Information is believed to be reliable and is provided 'as is' without warranty.