Normalized ATR Indicator Explained

Normalized ATR (NATR) divides ATR by price and multiplies by 100 — volatility as a percentage. An ATR of 50 means nothing across symbols; a NATR of 2.5% means exactly the same thing on Bitcoin, EURUSD, or a $10 stock.

How It Works

• (ATR ÷ close) × 100 per bar.
• Comparable across symbols, price regimes, and long spans of time.
• Rising NATR = the market is getting proportionally wilder.

How to Trade It

NATR is the right volatility gate for multi-symbol bots: one threshold works across the whole basket. Use it to skip dead markets, cap entries in panic regimes, and normalize position sizing so every symbol risks comparable percentage moves.

Building It in Setup.Cash

Add Normalized ATR 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. For single-symbol stops in price units, plain ATR remains the tool. For the full category overview, see the volatility & statistics library guide.

Volatility indicators qualify trades rather than generate them — backtest your system with and without this filter and compare the drawdowns.