Decoded Intelligence Signal
Average True Range (ATR)
intermediate
technical_analysis
Verified: May 27, 2026Lexicon Core Definition
A volatility indicator measuring the average of the true range (the largest of: current high minus current low, current high minus prior close, prior close minus current low) over N periods. ATR produces a single number representing how much an asset typically moves per period, accounting for gap opens that simple range measurement misses.
Analysis Breakdown
A volatility indicator measuring the average of the true range (the largest of: current high minus current low, current high minus prior close, prior close minus current low) over N periods. ATR produces a single number representing how much an asset typically moves per period, accounting for gap opens that simple range measurement misses. Full explanation coming soon when Journey 14 content is ingested.