Oyticker
LIVE
Indicators · Trend

Supertrend

The Supertrend is a trailing stop that follows the trend: in an uptrend it sits a multiple of the ATR below the price and only rises; when price closes below it, it flips above the price and starts following the downtrend.

What it's for
  • Follow a trend with a trailing stop based on the ATR.
  • Get a simple trend filter: a green line below price in uptrends, a red line above price in downtrends.
Plus and Pro toolTry it in Analyze
Pane
On the price chart
Plan
Plus and Pro
Settings
ATR length, factor
Default
10, 3

Calculation

basic upper = (high + low) / 2 + factor × ATR(10)
basic lower = (high + low) / 2 − factor × ATR(10)
the lower band can only rise while price stays above it; the upper band can only fall while price stays below it
uptrend: line = lower band, until a close below it → downtrend: line = upper band

Oyticker's implementation follows TradingView's ta.supertrend line by line. The green line is drawn in an uptrend, the red one in a downtrend.

How to read it

Supertrend green line trailing an advance, then a flip to the red line after the top
During the advance the green line trails below the price and only rises. After the top, a close below it flips the indicator: the red line now trails above the price.
  • As a trailing stop, the line is where a trend-follower would exit.
  • As a trend filter, only trades in the direction of the current color are taken.
  • A larger factor gives fewer flips and later exits; a smaller one reacts faster and flips more often.

Case study: whipsaws in a range

Supertrend flipping repeatedly in a sideways market
In a sideways market the indicator flips at almost every swing, each time near the wrong extreme: the cost of following a trend that does not exist.

Combine it with a regime filter (a flat moving average, a narrow Bollinger Band width, or a trend-strength measure written as a custom indicator) to stand aside in ranges.

Charts in this guide use simulated prices generated for illustration; levels and outcomes shown are examples, not observations of a real market. Educational content only, not investment advice.

Related guides

ATR (Average True Range)PlusHow Wilder's Average True Range is calculated from the true range, and how traders use it to set stops, size positions and detect volatility regimes.Moving averages (SMA, EMA, WMA, Hull)How simple, exponential, weighted and Hull moving averages are calculated, how to read slope, price position and crossovers like the golden cross, and why they fail in ranges.Long positionPlusHow to plan a long trade with Oyticker's position tool: entry, stop, target, risk/reward ratio, position size from your risk per trade, and the outcome on the chart.
Supertrend indicator: ATR bands, trailing stop and trend flips | Oyticker