ATR Trailing Stop

get_atr_stop(quotes, lookback_periods=21, multiplier=3, end_type=EndType.CLOSE)


name type notes
quotes Iterable[Quote] Iterable of the Quote class or its sub-class.
See here for usage with pandas.DataFrame
lookback_periods int, default 21 Number of periods (N) for the ATR evaluation. Must be greater than 1.
multiplier float, default 3 Multiplier sets the ATR band width. Must be greater than 0 and is usually set around 2 to 3.
end_type EndType, default EndType.Close Determines whether Close or High/Low is used as basis for stop offset. See EndType options below.

Historical quotes requirements

You must have at least N+100 periods of quotes to cover the convergence periods. Since this uses a smoothing technique, we recommend you use at least N+250 periods prior to the intended usage date for optimal precision.

quotes is an Iterable[Quote] collection of historical price quotes. It should have a consistent frequency (day, hour, minute, etc). See the Guide for more information.

EndType options

from stock_indicators.indicators.common.enums import EndType
type description
CLOSE Stop offset from Close price (default)
HIGH_LOW Stop offset from High or Low price



Convergence warning: the line segment before the first reversal and the first N+100 periods are unreliable due to an initial guess of trend direction and precision convergence for the underlying ATR values.


name type notes
date datetime Date
atr_stop Decimal, Optional ATR Trailing Stop line contains both Upper and Lower segments
buy_stop Decimal, Optional Upper band only (green)
sell_stop Decimal, Optional Lower band only (red)

buy_stop and sell_stop values are provided to differentiate buy vs sell stop lines and to clearly demark trend reversal. atr_stop is the contiguous combination of both upper and lower line data.


See Utilities and Helpers for more information.


from stock_indicators import indicators

# This method is NOT a part of the library.
quotes = get_historical_quotes("SPY")

# calculate 21-period ATR Stop
results = indicators.get_atr_stop(quotes)

About ATR Trailing Stop

Created by Welles Wilder, the ATR Trailing Stop indicator attempts to determine the primary trend of Close prices by using Average True Range (ATR) band thresholds. It can indicate a buy/sell signal or a trailing stop when the trend changes. [Discuss] 💬

chart for ATR Trailing Stop