Fixed pip or percentage stop-losses ignore dynamic market volatility.
Using the Average True Range (ATR) indicator allows position sizing to adapt to changing volatility conditions—widening stops during high volatility and tightening them during low volatility while keeping dollar risk constant.
Adapt stop distance to market volatility, not personal preference.
👇 Do you adjust your stop distance based on market ATR?
💬 Comment '11' to receive our Volatility Sizing Spreadsheet.
Using the Average True Range (ATR) indicator allows position sizing to adapt to changing volatility conditions—widening stops during high volatility and tightening them during low volatility while keeping dollar risk constant.
Adapt stop distance to market volatility, not personal preference.
👇 Do you adjust your stop distance based on market ATR?
💬 Comment '11' to receive our Volatility Sizing Spreadsheet.