PROTECTED SOURCE SCRIPT
ATRx Extension Helper – Distance from 50 DMA in ATR Multiples
📌 Credits
This TradingView indicator is inspired by Kyna Kosling’s article “How I Leverage AI to Customise My Charts” on The Trading Resource Hub and builds on the ATRx concept he adapted from the work of Jeff Sun.
Special thanks to both for the idea of using ATR multiples relative to the 50-day moving average (DMA) as a framework for trade management and risk control.
🧠 What This Indicator Does
This script calculates how extended the current price is above the 50-day moving average, measured in multiples of the 14-period Average True Range (ATR). It helps traders visualise stretched price action and manage entries and exits with more objectivity.
Options to toggle on Helpers and also also colored bars on/off
Bar colours:
🔶 Orange: 4–7.5× ATR above 50 DMA → Caution zone – avoid new entries
🔴 Pink: 7.5–10× ATR → Consider taking partial profits
🔵 Blue: ≥10× ATR → High-risk zone – take profits or exit
The indicator also plots the ATRx value — the ratio of price extension from the 50 DMA to the average true range — giving traders a live gauge of how extended a stock is on a volatility-adjusted basis.
🧮 Formula:
ATRx = ((Price - MA50) / MA50) ÷ (ATR / AvgPrice)
This gives a clean, normalised metric that can be used for conditional formatting, alerts, or trade rules.
🧰 Why Use This Indicator?
Helps prevent chasing extended moves
Encourages disciplined exits into strength
Adds structure to trade selection based on volatility-adjusted price distance
Works well for both intraday and swing trading
This TradingView indicator is inspired by Kyna Kosling’s article “How I Leverage AI to Customise My Charts” on The Trading Resource Hub and builds on the ATRx concept he adapted from the work of Jeff Sun.
Special thanks to both for the idea of using ATR multiples relative to the 50-day moving average (DMA) as a framework for trade management and risk control.
🧠 What This Indicator Does
This script calculates how extended the current price is above the 50-day moving average, measured in multiples of the 14-period Average True Range (ATR). It helps traders visualise stretched price action and manage entries and exits with more objectivity.
Options to toggle on Helpers and also also colored bars on/off
Bar colours:
🔶 Orange: 4–7.5× ATR above 50 DMA → Caution zone – avoid new entries
🔴 Pink: 7.5–10× ATR → Consider taking partial profits
🔵 Blue: ≥10× ATR → High-risk zone – take profits or exit
The indicator also plots the ATRx value — the ratio of price extension from the 50 DMA to the average true range — giving traders a live gauge of how extended a stock is on a volatility-adjusted basis.
🧮 Formula:
ATRx = ((Price - MA50) / MA50) ÷ (ATR / AvgPrice)
This gives a clean, normalised metric that can be used for conditional formatting, alerts, or trade rules.
🧰 Why Use This Indicator?
Helps prevent chasing extended moves
Encourages disciplined exits into strength
Adds structure to trade selection based on volatility-adjusted price distance
Works well for both intraday and swing trading
Script protegido
Este script se publica como código cerrado. Sin embargo, puede utilizarlo libremente y sin limitaciones: obtenga más información aquí.
Exención de responsabilidad
La información y las publicaciones que ofrecemos, no implican ni constituyen un asesoramiento financiero, ni de inversión, trading o cualquier otro tipo de consejo o recomendación emitida o respaldada por TradingView. Puede obtener información adicional en las Condiciones de uso.
Script protegido
Este script se publica como código cerrado. Sin embargo, puede utilizarlo libremente y sin limitaciones: obtenga más información aquí.
Exención de responsabilidad
La información y las publicaciones que ofrecemos, no implican ni constituyen un asesoramiento financiero, ni de inversión, trading o cualquier otro tipo de consejo o recomendación emitida o respaldada por TradingView. Puede obtener información adicional en las Condiciones de uso.