|
PureBytes Links
Trading Reference Links
|
Richard:
Thanks for this useful information.
I tried to access your web site, using 3 different browsers, and none of
them could locate it. Do you have any suggestions?
Lionel Issen
lissen@xxxxxxxxx
----- Original Message -----
From: "Richard Dale" <rad@xxxxxxxxxxxxxxx>
To: <metastock@xxxxxxxxxxxxx>
Sent: Friday, March 23, 2001 12:01 AM
Subject: RE: ATR
> Hi Lionel.
>
> > How is the ATR (average true range) used as a trading tool?
> > How does one plot ATR bands, as different to simply plotting the ATR
> > indicator.?
>
> I use ATRs for lots of things in trading:
>
> 1. Initial stop loss eg. entry price - 2*ATR(15)
> 2. Trailing profit stops eg. Highest high since entry - 3*ATR(15)
> (use a different multiple for different trading styles, maybe also
> incorporate other exit strategies too - time-based stops etc.)
> 3. Position sizing (ala Dr. Van K Tharp)
> 4. Volatility breakouts - where today's expected price range exceeds
> yesterday's price by ATRs by a given factor
> 5. Identification of trends running out of steam (ATR accelerates in
> the terminal phases of a trend)
>
> Hope that helps.
>
> Cheers,
> RICHARD DALE
> IT PROJECTS MANAGER
> daytraderHQ Ltd
> Level 4, 66 Kings Park Rd
> West Perth
> Western Australia 6005
> Phone: (08) 9226 0767 Fax (08) 9322 9998
> Email: rad@xxxxxxxxxxxxxxx
> Web site: www.daytraderHQ.com
> YOU'LL NEVER TRADE ALONE
>
|