How to use Average True Range ATR Indicator (Use the volatility for your trading success)

Hi ,
There are no indicators till date with 100% accuracy. However, one can make fortunes in trading / investing by knowing simple things and understanding the logic behind indicators. The key point for using an indicator successfully is to make sure that you know what you want with them. One such indicator that is widely used by traders is the AVERAGE TRUE RANGE Indicator or ATR Indicator. This indicator is also known as the Volatility Indicator since it takes the volatility of the asset / stock for predicting the movements.

In this article, I am going to share my views on how one can use this indicator as an adjunct to their existing trading strategy and also some useful practical tips to use in real time trading. I will also tell what mistakes one should avoid when using this Indicator. Read more...