OPEN-SOURCE SCRIPT
Scott’s volatility histogram
ATR shows volatility. SMA of ATR measures the average volatility over a chosen look-back period (default 200).
Divergence of ATR and sma is represented as a histogram.
Low periods of volatility are below the zero line. High periods of volatility are above the zero line.
Average volatility over a 200 period look-back is the zero value.
Divergence of ATR and sma is represented as a histogram.
Low periods of volatility are below the zero line. High periods of volatility are above the zero line.
Average volatility over a 200 period look-back is the zero value.
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
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