Description:
The Range indicator is a tool utilized to evaluate the trading range or price movement of a security within a specific timeframe by using a number of candles, aiding in the assessment of market volatility and potential trading opportunities. This is best if used within scripting in features such as the Market Scanner or Strategy Tester.
Input Parameters:
- Length: Number of periods used in the calculation.
- Offset: The offset value is used to access the data of any candle or indicator concerning the current candle, to access the current candle data it will use the offset value of "0", to access previous candle data "-1" offset value will be used, access data of previous to previous "-2" will be used.
Use Case:
- Volatility Assessment: Range indicator can help gauge how much prices fluctuate over time, indicating whether markets are calm or volatile.
- Identifying Support and Resistance: They pinpoint levels where prices tend to stop rising or falling, aiding traders in spotting potential entry and exit points.
- Detecting Breakouts: The range indicator can reveal when prices move beyond established levels, signaling potential opportunities for traders to enter or exit positions.
This feature can be used in:
- Market Scanner
- Strategy Tester
- Dynamic Alerts
- Multi-Factor Alerts
- Smart Checklist