Average True Range

The Average True Range was authored by Welles Wilder in 1978. It computes the average true range (high – low extending to the previous bars close). The user may change only the period length. This indicator’s definition is further expressed in the condensed code given in the calculation below.

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How To Trade Using Average True Range

Average True Range may be used in conjuction with other studies. No signals are calculated for this indicator.

How To Access in MotiveWave

Go to the top menu, choose Study>Welles Wilder>Average True Range

or go to the top menu, choose Add Study, start typing in this study name until you see it appear in the list, click on the study name, click OK.

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//period = user defined, default is 14
//index = current bar number
/prev = previous, abs = absolute value

//atr = max((high-low),abs(high-prevClose),abs(low-prevClose)) for the period.
Plot: atr(index, period);