ATR Calculator

Average True Range

Wilder's ATR — measures market volatility using True Range over N periods

ATR(14)

273.27

points

ATR %

1.10%

of spot price

True Range

260.00

last candle

Volatility

Moderate

ATR/Close = 1.10%

Step 1 — True Range (TR)Foundation

True Range is the greatest of three values, capturing gaps between sessions:

TR₁ = H − L

Current candle range

TR₂ = |H − C₍ₙ₋₁₎|

Gap-up scenario

TR₃ = |L − C₍ₙ₋₁₎|

Gap-down scenario

TR = max(TR₁, TR₂, TR₃) = max(H−L, |H−C₍ₙ₋₁₎|, |L−C₍ₙ₋₁₎|)

Step 2 — Initial ATR (Simple Average)Seed Value

The first ATR value is a simple arithmetic mean of the first N True Ranges:

ATR₍ₙ₎ = (TR₁ + TR₂ + ... + TRₙ) / N

ATR(14) = Σ TR[1..14] / 14

Step 3 — Wilder's Smoothing (Subsequent ATR)Key Formula

All subsequent ATR values use Wilder's exponential smoothing — giving more weight to recent volatility:

ATR₍ₜ₎ = [ATR₍ₜ₋₁₎ × (N−1) + TR₍ₜ₎] / N

ATR₍ₜ₎

Current ATR value

ATR₍ₜ₋₁₎

Previous ATR value

TR₍ₜ₎

Current True Range

Wilder's smoothing is equivalent to an EMA with α = 1/N. For ATR(14), the smoothing factor is 1/14 ≈ 0.0714. This means recent True Ranges have higher influence on the ATR value.

Step 4 — ATR % (Normalized)Comparison

ATR% = (ATR / Close) × 100

Normalizes ATR across different price levels — useful for comparing volatility across instruments

True Range for Each Candle

#	High	Low	Close	Prev Close	H−L	\|H−PC\|	\|L−PC\|	TR
1	24980	24720	24847	—	260.00	—	—	260.00
2	24900	24610	24720	24847	290.00	53.00	237.00	290.00
3	24760	24480	24680	24720	280.00	40.00	240.00	280.00
4	24820	24550	24790	24680	270.00	140.00	130.00	270.00
5	24950	24700	24910	24790	250.00	160.00	90.00	250.00
6	25080	24820	24980	24910	260.00	170.00	90.00	260.00
7	25120	24860	25050	24980	260.00	140.00	120.00	260.00
8	25200	24940	25100	25050	260.00	150.00	110.00	260.00
9	25180	24880	24960	25100	300.00	80.00	220.00	300.00
10	25050	24750	24820	24960	300.00	90.00	210.00	300.00
11	24900	24620	24750	24820	280.00	80.00	200.00	280.00
12	24820	24540	24700	24750	280.00	70.00	210.00	280.00
13	24780	24500	24660	24700	280.00	80.00	200.00	280.00
14	24850	24580	24810	24660	270.00	190.00	80.00	270.00
15	24920	24660	24880	24810	260.00	110.00	150.00	260.00

* Bold values indicate the maximum (True Range). Row 1 uses H−L only (no previous close).

Initial ATR(14) — Simple Average of first 14 TRs

= (260.00 + 290.00 + 280.00 + 270.00 + 250.00 + 260.00 + 260.00 + 260.00 + 300.00 + 300.00 + 280.00 + 280.00 + 280.00 + 270.00)

= 3840.00 / 14

ATR(14) seed = 274.29

Wilder Smoothing — Last 3 Updates

ATR[13] = (ATR[12] × 13 + TR[13]) / 14

= (0.00 × 13 + 280.00) / 14

= (0.00 + 280.00) / 14

= 0.00

ATR[14] = (ATR[13] × 13 + TR[14]) / 14

= (0.00 × 13 + 270.00) / 14

= (0.00 + 270.00) / 14

= 274.29

ATR[15] = (ATR[14] × 13 + TR[15]) / 14

= (274.29 × 13 + 260.00) / 14

= (3565.71 + 260.00) / 14

= 273.27

Final ATR(14) Result

ATR(14)

273.27

ATR %

1.10%

Support Zone

24606.73

Resistance Zone

25153.27

Trading Applications

Stop-Loss Placement

SL = Entry − (ATR × multiplier)

Common: 1.5× ATR for swing, 2× ATR for positional

Target Setting

Target = Entry + (ATR × 2)

Risk:Reward of 1:2 using ATR-based stops

Position Sizing

Qty = Risk Amount / (ATR × multiplier)

Normalize risk across instruments

Breakout Filter

Valid breakout if move > ATR

Filters noise from genuine breakouts

ATR Across Timeframes

Timeframe	ATR(7)	ATR(14)	ATR%	Volatility	SL (1.5×)	Target (2×)
5 Min	21.89	21.86	0.09%	Low	24847.21	24923.72
15 Min	41.05	40.99	0.16%	Low	24818.52	24961.98
1 Hour	95.78	95.64	0.38%	Low	24736.54	25071.29
4 Hour	177.88	177.62	0.71%	Moderate	24613.57	25235.24
Daily	273.66	273.27	1.10%	Moderate	24470.10	25426.53
Weekly	1231.45	1229.69	4.94%	High	23035.46	27339.39

ATR Calculator

ATR Formula — Mathematical Definition

Live Step-by-Step Calculation — ATR(14)

ATR Across Timeframes