I have an observation / question for your consideration please. If I take a 20 day ATR from the the day before's candle, and then deduct that ATR from today's high, I am not getting the same reading as this indicator. I have done several manual checks and it's always a few pips out.
My maths on the manual calculations I am doing:
Yesterday’s 20 day period ATR deducted from the current days high = lower ATR
Yesterday’s 20 day period ATR added to current days low = upper ATR
it's only a few pips, but I'm scratching my head to see where I am going wrong. If you wouldn't mind taking a moment to check my logic please I would be most grateful.
Many Thanks
conradkhan
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@AnotherWalkenThePark, Hi! Sorry to bother you, did anyone get a reply for this?
Secretive
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@khan114936, Hi Khan. I had a brief chat with the creator. I think he checked it and was working well from his perspective - probably certain pairs work slightly differently. I use it as a rough guide to ATR, and it is a brilliant tool. I use it every day and I'm grateful to SFL for sharing it.
conradkhan
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@AnotherWalkenThePark, Hi, thank you for getting back to me. I Appreciate it, i agree, it's a brilliant tool (:
UnknownUnicorn553472
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@AnotherWalkenThePark, Two things are different in this indicator than what you might do (and this is by design, as this is how the original MT4 indicator worked):
- My ATR uses SMA smoothing and the default Tradingview ATR indicator does not.
- The high is calculated from either yesterday's close OR today's low, whichever is lower; and the low is calculated from either yesterday's close OR today's high, whichever is higher.
I'm fairly certain that this should account for the differences you are experiencing.
Secretive
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@smartforexlearning, thanks for explaining and also - thanks for sharing. Appreciated.
BitcoinBreakfast
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Thanks for this! Was looking everywhere for it. Could you enable the option to display only the current day ATR?
UnknownUnicorn553472
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@BitcoinBreakfast, thanks for your kind words! I've just added this option.
CryptoCrabbie
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Hi thank you so much! I was wondering why I dont see the ATR levels move during the day? Based on my understanding the ATR levels are based on the CURRENT day low and high, so if the low(high) of the current day gets lower (higher), than the ATR level should automatically adjust during the day no? Thanks!
UnknownUnicorn553472
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@CryptoCrabbie, thanks for your kind words and happy that you like it! The price levels do move but only if new highs or lows have been made, since those are used to calculate the levels. The daily ATR value is actually the one from one day ago, not the current day.
I have an observation / question for your consideration please. If I take a 20 day ATR from the the day before's candle, and then deduct that ATR from today's high, I am not getting the same reading as this indicator. I have done several manual checks and it's always a few pips out.
My maths on the manual calculations I am doing:
Yesterday’s 20 day period ATR deducted from the current days high = lower ATR
Yesterday’s 20 day period ATR added to current days low = upper ATR
it's only a few pips, but I'm scratching my head to see where I am going wrong. If you wouldn't mind taking a moment to check my logic please I would be most grateful.
Many Thanks