One request we hear often from new users is “How do I make a trailing stop based on average true range?”
The True Range indicator is described in Example 3, and one is programmed in Example 24. We used the latter one in our example and applied an 8 period moving average to it to create an Average True Range.
If you want to use your own indicator, you need to specify the trailing price level in the protective stop tabs. Let’s say you want to use the last Close minus 2 times ATR(8) for a long stop, and Close + 2*ATR(8) for a short stop. Look at the attached chart we built for you (Click here to download) It has data saved in it. The price levels are entered at the bottom of the Protective stop tabs on the trading strategy.