Median Price (HL2) Indicator Explained

HL2 (Median Price) is the midpoint of each bar: (high + low) / 2. It's less an indicator than a better input — a price source that represents the bar's center of gravity instead of the close's last-second print.

How It Works

• Each bar contributes (high + low) / 2.
• Close-based whipsaw (a late spike that reverses next bar) is halved in impact.
• Any indicator accepting a source input can run on HL2 instead of close.

How to Trade It

Feed HL2 into moving averages, RSI, or custom Indicators Lab formulas when close-noise causes false triggers — the signals fire on nearly the same bars but skip some one-tick fakeouts. It's a free robustness upgrade worth testing on volatile symbols.

Building It in Setup.Cash

Add Median Price (HL2) in the strategy builder — the length input controls its sensitivity — and use its value in any entry, exit, or filter condition. You can also combine it with other tools in the Indicators Lab or via the AI indicator generator. Siblings: HLC3 typical price and OHLC4 average price. For the full category overview, see the advanced trend library guide.

Trend tools reward patience: pick one, pair it with a volatility or regime filter, and backtest before trading it live.