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Tool Atlasmarket.natr

Tool

Normalized ATR

market.natr

MarketVolatility

Inputs

No typed inputs.

Outputs

Buffer (time series)

A positive volatility line measured as a percent of price. Unlike raw ATR, the same NATR value means comparable volatility across symbols of very different price scales.

NATR (Normalized ATR) is the Average True Range expressed as a percent of price. By dividing volatility by the price level it becomes comparable across symbols, so a 0.8% NATR means the same kind of choppiness whether the chart is EURUSD or an index.

Normalized ATR overview diagram

How it works

It computes the same average true range as ATR over the period (default 14 bars), then divides by the current price and scales to a percent. So instead of a raw price distance it reports volatility as a share of price.

Configuration

periodscalar

How many bars to average the true range over before normalizing by price. Larger = smoother and slower; smaller = faster and noisier. 14 is the classic default.

period diagram

Connects to

Feeds into

Examples

  • Cross-symbol filter: use one NATR threshold (say 'only trade when NATR > 0.5%') across a basket of instruments with different price levels.
  • Volatility regime gate: block entries when NATR is unusually high, signalling conditions are too choppy for the setup.

Common mistakes

  • Using NATR as a raw price distance for a stop — it's a percent, so convert back through price before sizing a stop. Use plain ATR if you want a price distance.
  • Treating NATR as directional; like ATR it only measures the size of moves, never their direction.

See also