TR
Category:
Indicators
The TR function in ProBuilder language calculates the True Range of a price, which is a measure used primarily in technical analysis to capture the volatility of a stock or commodity. The True Range is the greatest of the following three values: the difference between the current high and the current low; the difference between the previous close and the current high; and the difference between the previous close and the current low.
Syntax:
TR(price)Example:
variable1 = TR(close)
This example assigns the True Range of the closing price to variable1.
Additional Information:
- The price parameter can be any valid price series, such as open, high, low, or close.
- Understanding the True Range can be crucial for traders who are trying to assess the volatility of a security. A higher True Range indicates higher volatility.
By using the TR function, traders and analysts can more accurately gauge market behavior and potential price movements, making it a fundamental tool in the creation of various other technical indicators like the Average True Range (ATR).
Related Instructions:
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