ATR Rank Indicator

ATR Creator: J. Welles Wilder

Concept: Definedge

Default ATR period: 14

Default Rank Perdiod: 240 

Default Rank average: 50

There are two lines plotted below the chart in the ATR Rank indicator.

1 – Green line is ATR Rank

2 – Red line is ATR Rank Average

The ATR Rank indicator measures volatility in the stock.

The red line represents the average rank of the ATR over the last 240 periods. The ATR for the last 14 periods is indicated by the green line.

A scrip with a green line (current ATR percentile) above the red line (average percentile) is considered to be volatile, and vice versa, if the green line is below the red line, it is considered to be low.

The indicator table value in TradePoint & RZone also provides you with a list of all values of this indicator for any group of stocks. This will allow you to compare the readings of this indicator across different stocks.

This indicator is also available in the System Builder of RZone & TradePoint for all charting methods. Using the system builder, you can develop various strategies based on the different conditions already present in this indicator. Additionally, it can be used with other indicators or price patterns to develop effective trading strategies. For any group of stocks and market segments, you can scan and backtest stocks based on those strategies.

The indicator is applicable to all types of charting. Calculated based on the number of columns on P&F charts, bricks on Renko charts, lines on Line-break charts, candles on Heikin ashi charts, and lines on Kagi charts. While the formula and reading of the indicators remain the same, they become more dynamic on these charts.