# Charts

## Average True Range (ATR)

### Description

The Average True Range (ATR) study measures the size of the period’s range, and takes into account any gap from the close of the previous period.

### Formula

$Average\;True\;Range = average(TR, n)$

where:

$TR = max(High_{t} - Close_{t-1}\;,\;Close_{t-1} - Low_{t}\;,\;High_{t} - Low_{t})$

$n = period$