Average True Range

True range includes the previous close specifically so that overnight gaps are captured, which is why ATR is a more honest volatility measure than the day's high-low range alone. It says nothing about direction and is not an oscillator — it simply states typical movement in rupees. Its most valuable use is position sizing and stop placement: setting a stop at a multiple of ATR adapts the risk per share to the security's own volatility, which is what makes rupee risk constant across different instruments. This is the most practically useful indicator in this category and the one least prone to being mistaken for a prediction.