Mastering Wilder's Average True Range (ATR) for MetaTrader 5 Trading

Hey traders! Today, we’re diving into a powerful tool that can enhance your trading strategy—the Average True Range (ATR). This indicator was crafted by the legendary John Welles Wilder Jr. and is detailed in his classic book, New Concepts in Technical Trading Systems from 1978.

What sets this ATR apart? It employs Wilder’s moving average, often referred to as the smoothed moving average (SMMA), rather than the standard simple moving average (SMA) that you’ll find in MetaTrader’s built-in ATR. The default setting for this ATR is set to 7, which is a shift from the conventional 14 days mentioned in Wilder's work.

If you’re looking to implement this indicator, you’ll be pleased to know that the code is designed for both MQL4 and MQL5, ensuring that you can use it regardless of your trading platform. Plus, all the source codes for my publications on CodeBase are now easily accessible under the “Public Projects” tab in MetaEditor—just look for “FMIC”.

So, whether you’re a seasoned trader or just starting out, mastering the ATR can provide you with deeper insights into market volatility and help refine your trading decisions. Let's get trading smarter!

Mastering Wilder's Average True Range (ATR) for MetaTrader 5 Trading

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