Support and Resistance Using Supertrend in all ATRs
We can use Supertrend to find the support and resistance of any stock or index . We will be using 6 supertrends to do this .
1) Period 2 , Multiplier 1.5
2) Period 2 , Multiplier 4.5
3) Period 2 , Multiplier 7.5
4) Period 2, Multiplier 10.5
5) Period 2, Multiplier 13.5
6) Period 2 , Multiplier 16.5
Period refers to the ATR number of days. It means to say that the system will calculate the ATR value for the last 2 days. You can input any value you deem suitable.
The multiplier refers to a value by which the ATR will get multiplied. Whatever is the value of ATR, it will get multiplied by 3. Multiplier is a crucial input for Super trend. If the multiplier value is too high, then lesser number of signals are generated. Likewise if the multiplier value is too small, then the frequency of signals increase, hence chances of generating false trading signals are quite high.
It will plot Supertrends with 3, 9, 15, 21, 27 and 33 (Period X Multipler).
We can use Supertrend to find the support and resistance of any stock or index . We will be using 6 supertrends to do this .
1) Period 2 , Multiplier 1.5
2) Period 2 , Multiplier 4.5
3) Period 2 , Multiplier 7.5
4) Period 2, Multiplier 10.5
5) Period 2, Multiplier 13.5
6) Period 2 , Multiplier 16.5
Period refers to the ATR number of days. It means to say that the system will calculate the ATR value for the last 2 days. You can input any value you deem suitable.
The multiplier refers to a value by which the ATR will get multiplied. Whatever is the value of ATR, it will get multiplied by 3. Multiplier is a crucial input for Super trend. If the multiplier value is too high, then lesser number of signals are generated. Likewise if the multiplier value is too small, then the frequency of signals increase, hence chances of generating false trading signals are quite high.
It will plot Supertrends with 3, 9, 15, 21, 27 and 33 (Period X Multipler).