Keltner ATR

Creator: Chester Keltner

Default average period: 20

Default ATR period: 10

Default multiplier: 2

In the Keltner ATR indicator, three lines are plotted below the chart.

1 – Green line is the Upper Band

2 – Red line is the Middle Band

3 – Blue line is the Lower Band

Keltner bands are based on ATR. Average True Range (ATR) is an indicator of volatility. In the Keltern ATR indicator, the upper band represents the ATR multiplier above the exponential moving average line. Keltner ATR indicator lower band is the ATR multiplier below the exponential moving average.

It is possible for the user to define the ATR period, EMA period, and multiplier.

A price above the upper band of the Keltner ATR bands indicates a strong bullish trend. A price below the lower band of the Keltner ATR bands indicates a strong bearish trend.

Click here to know more about Keltner channel and Keltner ATR bands.

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.