ADR = Average Daily Range

[erebus]

There are many available, I like this one best because the HIGH and LOW are dynamic, that is, they adjust as the day's price action unfolds

You have to watch it in work to understand better

PS: I'll have to load it later - file extension not allowed, sorry

 

[erebus]

Monday, April 13, 2015

Here is the chart of AUD-USD showing the price action thus far, well into London session. You can see the market times on the chart, major move was made down during Asian session, hits the ADR - I use 10 for most recent volatility - bounced 38.2% - goes back down past the ADR - comes back to re-test that line exactly !!!!

Now, where it ends the day, I don't know yet, but I do know I see this pattern repeating many times, of course, not every day, but often enough to recognize it happening

Cannot post the ADR indicator yet, ask me in the forum for it, regards, John

 

[erebus]

By popular demand, ADR attached, just a readout

 

[javifx]

thanks erebus

 

[Swe60]

Cool, thank you!