161 Volatility width

This indicator calculates the price range (difference between highest and lowest value), over a prior period of time, as percentage. it can be used to assess if price is consolidating, and or whether the variation in recent price is within the desire profit take. If desite profit take is say 1%, but this indicator yields only 0.5% in recent past, then it will not be wise to enter.

Figure 14.31: Volatility width