ATR Volatility Expansion
Trades volatility expansion: buys when short-term ATR rises above long-term ATR and sells when volatility contracts.
Entry Logic
Buy when ATR(14) crosses above ATR(30) — the recent daily range is expanding versus the longer average.
Exit Logic
Sell when ATR(14) crosses back below ATR(30) — volatility is contracting.
How Rules Combine
Both ATRs are Wilder averages of True Range. Comparing a fast and slow ATR shows whether the recent range is unusually large.
When It Works (Market Edge)
Volatility-driven breakouts: rising ATR often accompanies the start of strong moves, so expansion can lead price.
When It Fails
Low-volatility chop: ATR can flick above/below the long average without any price direction — volatility alone has no trend.
Common Myths
Myth: High ATR means you should buy.
Truth: High ATR only means large ranges. It happens in crashes too. ATR needs price context to give direction.
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5Y Rankings
Performance across major assets, sorted by return.
| Asset | Total Return | Win Rate | Profit Factor | Max Drawdown | Avg Duration | Trades | Action |
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