Watch video here: https://youtu.be/V33lYSZMlps?si=czqTRCwHTycC0JRv
Here is a chart with the ATR Trailing Stop indicator, showing a trailing stop line which adjusts with changes in the Average True Range (ATR):
The trailing stop (dotted line) continues until price trades through it, flipping the trend. In strong trending markets, the stop line can continue unbroken for a long periods. In range bound markets, the trend flips can happen more often until a new trend establishes itself. The software lets you specify an ATR Multiplier which directly impacts the distance to the trail line, which then of course affects how many trend flips occur within a defined period.
Additionally, the software can display up to 3 standard deviation bands around the trailing stop line. Here is the indicator applied to a minute chart showing how the Band width varies with changes in volatility:
If markets are trending, the ATR Trailing Stops indicator can really help with stop management. The Deviation Bands are very useful for trend continuation entries on pullbacks. And making all components a function of the ATR keeps you in synch with the current conditions.
You can download the zip file (see link below) so you can import the software directly into the Tickblaze platform to use in your trading. If you want to access the source code, you can find everything you need here:
https://github.com/Tickblaze/Tickblaze.Scripts.ARC.
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