ATR (Average True Range)
Posted: Dec 13 2013
This indicator implements the original and industry standard Average True Range created by J. Welles Wilder, Jr. (June 1978) in New Concepts in Technical Trading Systems. Greensboro, NC: Trend Research. ISBN 978-0-89459-027-6. See page 23, 24 for the formula. It uses the EMA of true range values.
The current MC "Average True Range" function / indicator is different and uses the SMA instead of the EMA.
To use the ATR in a signal simply copy the class and initialization code from this indicator. Let me know if you have any trouble.
Note that the first "atr_length" bars are SMA before EMA starts. For the indicator this is not seen, but in a signal it is good to understand.
- http://www.threefoldmarkets.com
The current MC "Average True Range" function / indicator is different and uses the SMA instead of the EMA.
To use the ATR in a signal simply copy the class and initialization code from this indicator. Let me know if you have any trouble.
Note that the first "atr_length" bars are SMA before EMA starts. For the indicator this is not seen, but in a signal it is good to understand.
- http://www.threefoldmarkets.com