True Range Calculator
Calculate one bar’s True Range from its high, low, and previous close. The result includes gaps and stays in the input price units; it does not predict the next move.
Calculate True Range
Enter the current High, Low, and Previous Close prices.
What is True Range?
True Range (TR) is a technical analysis indicator developed by J. Welles Wilder Jr. to measure the volatility of an asset. Unlike the standard range (High - Low), True Range accounts for gaps that may occur between the previous day's close and the current day's open.
For example, a high of 105, low of 103, and previous close of 100 give a high-low range of 2 but a True Range of 5. This hypothetical gap example explains the formula without implying direction or a future price target.
The Formula
The True Range is calculated as the greatest of the following three values:
- Method 1: Current High minus Current Low (H - L)
- Method 2: Absolute value of Current High minus Previous Close (|H - Cp|)
- Method 3: Absolute value of Current Low minus Previous Close (|L - Cp|)
Where:
H = Current High
L = Current Low
Cp = Previous Close
What this result can and cannot tell you
- Price movement: TR summarizes the current bar relative to the prior close. It does not measure volume or distinguish an upward move from a downward move.
- ATR input: A sequence of TR observations can be smoothed into ATR. This page accepts one bar and does not calculate that sequence.
- Risk rules: A volatility-based stop requires a separate multiplier, entry, direction, and fill model. TR alone does not establish an appropriate position size or confirm a breakout.
How to Use This Calculator
- Enter the High price of the current candle or session.
- Enter the Low price of the current candle or session.
- Enter the Close price of the previous candle or session.
- Click Calculate to get the True Range value.
Did you know?
The Average True Range (ATR) smooths a series of TR values. TradingView defaults to an RMA, with a commonly used length of 14 bars; those bars can be intraday, daily, or another timeframe. Other smoothing choices produce different values. This single-bar calculator does not apply smoothing.
Formula reference: TradingView TR and ATR documentation.
Frequently Asked Questions
What does True Range measure?
True Range is the largest of high minus low, absolute high minus previous close, and absolute low minus previous close. It measures one bar in the same price units as the inputs; it is not a percentage, direction signal, or forecast.
Can True Range be negative?
No. For finite prices with high greater than or equal to low, the result is nonnegative. This calculator accepts zero or negative price levels when they are meaningful for the instrument, but rejects a high below the low and missing or nonfinite inputs.
Can I compare values across different assets?
Raw price-unit values depend on price scale and timeframe. Use consistent units, bar duration, session definitions, and adjustment conventions. A larger single-bar range does not by itself confirm a breakout or prescribe a position size.
Does this calculate ATR or a stop-loss price?
No. It calculates one True Range observation. ATR smooths a series of True Ranges; Wilder-style ATR uses a recursive moving average, not a simple average of only the latest observations. A stop distance also needs a separate rule and does not guarantee a fill price.
What if I do not have a previous close?
This calculator requires a previous close and will not silently replace it. Some chart implementations use high minus low for the first available bar; that is a separate initialization convention. Inputs are processed locally and no price feed is fetched by this calculator.
Build a Volatility Rule for TradingView
Pineify App coding tools require an eligible paid plan. Describe a TR or ATR rule, inspect the generated script, and test it in TradingView. Chart updates depend on the script and available market data; this calculator does not place stops.
Review Pineify Plans