What SuperTrend shows
A line that trails price using the Average True Range. It flips from below price (green) to above (red) when the trend changes.
A line that trails price using the Average True Range. It flips from below price (green) to above (red) when the trend changes.
A line that trails price using the Average True Range. It flips from below price (green) to above (red) when the trend changes.
It starts from the middle of each candle (high + low, divided by 2) and places a line a multiple of the ATR away. The line only moves in the direction of the trend and flips to the other side when price closes through it.
ATR length 10 and multiplier 3. A smaller multiplier gives earlier, noisier signals.
Simple to read: stay long while price is above the line, stay out or short while it is below. It also works as a trailing stop.
Whipsaws in a range; many traders only take it in the direction of a higher timeframe.
A 200 EMA as a trend filter and ADX to avoid sideways markets.
Sign in, open Genni Charts, press the "ƒx Indicators" button above the chart and choose SuperTrend. Click its name on the chart to change the settings. It is free for every member.
More in "Trend": Parabolic SAR · ADX · All 25 indicators
This page is education, not investment advice. Trading involves substantial risk of loss. Read next: Trading indicators · Trading strategies · Candlestick patterns