SIGNAL FREQUENCY SCORE · 82/100
ATR
Definition
Average True Range — the average candle size over N periods. Used for stop placement (stops go 1× ATR beyond the zone boundary) and breakout filters (volume must exceed 1.2× average on the breakout candle).
How Sigmentum uses it
True Range on any candle is the largest of: (High − Low), (High − Previous Close), (Previous Close − Low). ATR averages these over 14 periods by default. Sigmentum uses ATR in two places: stop loss placement (1× ATR beyond the structural zone boundary) and breakout validation. A breakout candle with volume below 1.2× average ATR is a weak breakout — the system discounts confidence accordingly.
See this term in a live signal
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