SuperTrend
Trend-following indicator that combines ATR for volatility bands to identify the primary market direction.
Usage
Use as a primary trend-following indicator and dynamic stop-loss. A SuperTrend flip from bearish to bullish (or vice versa) provides a clear, rule-based entry and exit signal.
Background
SuperTrend computes upper and lower ATR-based bands around the midpoint of each bar. The active line flips from upper to lower (and vice versa) only when price closes beyond the band, providing a clean directional bias and a trailing stop level in one indicator. — TradingView Community
Parameters
period(default: 10): ATR lengthmultiplier(default: 3.0): ATR multiplier
Formula
\[
\text{SuperTrend} = \begin{cases}
\text{LowerBand} & \text{if trend is up} \\
\text{UpperBand} & \text{if trend is down}
\end{cases}
\]