What is ATR (Average True Range)?
ATR, the Average True Range, measures how much price typically moves over a set period, including gaps between bars. It is a single number that describes recent volatility, not direction. Traders often use it to size stops or position size relative to how active the market currently is.
Why ATR (Average True Range) matters
It turns volatility into a concrete number, which helps you scale stops and expectations to current conditions.
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