TraderEvolution
  • TraderEvolution Guide
  • TraderEvolution for Desktop
    • Windows
      • How to...
      • Getting started
        • System requirements
        • Installation and login
        • General settings
        • Hotkeys
        • Managing columns
        • Workspaces
        • Arranging panels
        • Top menu, Side bar, Info bar, Status bar
        • Panel settings
        • Alerts
        • Symbol & Account lookups
      • Analysis tools
        • Chart
          • Chart overview
          • Chart settings
          • Chart templates
          • Aggregation types overview
          • Cluster chart
          • Profile chart
          • Drawings
            • Drawing basics
            • Long/Short position
            • Fibonacci tools
          • Level ll data on chart
          • Object manager
          • Chart overlay
          • Context menu
          • Dividend payment history
          • Volume analysis
            • Price statistics
            • Volume profile
            • Volume bars
            • Volume dots
            • Bar statistics
            • Time & Sales analysis
            • VWAP+
        • Grid
        • Watchlist
        • Time & Sales
      • Technical indicators
        • Settings
        • Channels
          • BB (Bollinger bands)
          • BBF (Bollinger bands flat)
          • Price channel
          • Keltner channel
          • MAE (Moving average envelope)
        • Moving averages
          • EMA (Exponential moving average)
          • KAMA (Kaufman adaptive moving average)
          • LWMA (Linear weighted moving average)
          • MAS3 (3MASignal)
          • MD (McGinley dynamic)
          • MMA (Modified moving average)
          • PPMA (Pivot point moving average)
          • Regression line
          • SMA (Simple moving average)
          • SMMA (Smoothed moving average)
        • Oscillators
          • AC (Acceleration oscillator)
          • AO (Awesome oscillator)
          • Aroon
          • CCI (Commodity channel index)
          • CMO (Chande momentum oscillator)
          • KRI (Kairi relative index)
          • MACD (Moving average/convergence divergence)
          • Momentum
          • PO (Price oscillator)
          • PPO (Percentage price oscillator)
          • QStick
          • RLW (%R Larry Williams)
          • ROC (Rate of change)
          • RSI (Relative strength index)
          • Stochastic (Stochastic slow)
          • Stochastic RSI
          • TSI (True strength index)
        • Trend
          • ADX (Average directional movement index)
          • Alligator
          • DMI (Directional movement index)
          • ICH (Ichimoku)
          • Pivot point
          • SAR (Parabolic time/price system)
          • SI (Swing index)
          • ZZ (ZigZag)
          • YHL (Yesterday's high low)
        • Volatility
          • ATR (Average true range)
          • HV (Historical volatility)
          • SD (Standard deviation)
        • Volume
          • MFI (Money flow index)
          • OBV (On balance volume)
          • PVI (Positive volume index)
          • RVOL (Relative Volume) & RVOLBS (Relative Volume Beasley Savage)
          • Volume
        • Other
          • Didi index
          • EATR (Envelopes ATR)
      • Trading panels
        • Order entry
          • Position sizing
        • Super DOM
        • Market depth
        • Matrix
        • Scalper
        • Visual trading
        • Option master
          • Overview
          • Option chain
          • Analyzer
          • Volatility lab
      • Account management
        • Working orders
        • Orders history
        • Filled orders
        • Saved orders
        • Close account requests
        • Positions
        • Synthetic instruments
        • Account operations
        • Assets
        • Statement
        • Subscriptions
        • Copy trading
      • Account information
        • Accounts
        • Account statistics
        • Managed account statistics panel
        • Positions balance
        • Currencies exposure
        • Reports
      • Informative panels
        • Gainers/Losers list
        • Market consensus list
        • High/Low list
        • RSS
        • News
        • Video
        • Internal Browser
        • Economic calendar
        • IPO calendar
        • Heat map
        • Dividends calendar
        • Notifications
        • Event log
      • Strategy manager
        • Overview
        • Strategy list
        • Chart section
        • Active positions/orders section
      • Trading ideas
      • MAM system
        • MAM basics
        • Creating MAM group
        • Trading in MAM
      • More
  • TraderEvolution for Mobile
    • Phones
      • Getting started
      • Settings
      • Watchlist
      • Symbol info
      • Chart
      • Technical indicators
        • Settings
        • Channels
          • BBF (Bollinger bands flat)
          • Price channel
          • BB (Bollinger bands)
        • Moving averages
          • SMA (Simple moving average)
          • LWMA (Linear weighted moving average)
          • SMMA (Smoothed moving average)
          • MMA (Modified moving average)
          • EMA (Exponential moving average)
        • Oscillators
          • Stochastic (Stochastic slow)
          • ROC (Rate of change)
          • RSI (Relative strength index)
          • Aroon (Dawn's early light)
          • CMO (Chande momentum oscillator)
          • CCI (Commodity channel index)
          • Momentum
          • MACD (Moving average/convergence divergence)
        • Trend
          • ADX (Average directional index)
          • SAR (Parabolic time/price system)
          • ICH (Ichimoku)
        • Volatility
          • SD (Standard deviation)
          • ATR (Average true range)
        • Volume
          • OBV (On balance volume)
          • MFI (Money flow index)
      • Order entry
        • Visual trading
        • Position sizing
      • Orders
      • Trading ideas
      • Positions
      • Positions balance
      • Assets
      • Market depth
      • Option chain
        • Option strategies
      • Market consensus list
      • Event log
      • Account details
      • Statement
      • MAM summary
      • Alerts
      • My Portfolio
        • Getting started
        • Performance
        • Return
        • Growth
        • Metrics
        • More
      • Video
      • Notifications
      • Auto-invest
      • More
      • Subscriptions
    • Tablets
      • Getting started
      • Settings
      • Watchlist
      • Symbol info
      • Chart
      • Technical indicators
        • Settings
        • Channels
          • BB (Bollinger bands)
          • Price channel
          • BBF (Bollinger bands flat)
        • Moving averages
          • EMA (Exponential moving average)
          • MMA (Modified moving average)
          • SMMA (Smoothed moving average)
          • LWMA (Linear weighted moving average)
          • SMA (Simple moving average)
        • Oscillators
          • MACD (Moving average/convergence divergence)
          • CCI (Commodity channel index)
          • CMO (Chande momentum oscillator)
          • Aroon (Dawn's early light)
          • RSI (Relative strength index)
          • ROC (Rate of change)
          • Stochastic (Stochastic slow)
          • Momentum
        • Trend
          • ICH (Ichimoku)
          • SAR (Parabolic time/price system)
          • ADX (Average directional index)
        • Volatility
          • ATR (Average true range)
          • SD (Standard deviation)
        • Volume
          • MFI (Money flow index)
          • OBV (On balance volume)
          • PVI (Positive volume index)
      • Order entry
        • Visual trading
        • Position sizing
      • Orders
      • Trading ideas
      • Positions
      • Positions balance
      • Assets
      • Market depth
      • Option chain
        • Option strategies
      • Market consensus list
      • Event log
      • Account details
      • Statement
      • MAM summary
      • Alerts
      • Notifications
      • Auto-invest
      • Video
      • Subscriptions
      • My Portfolio
        • Getting started
        • Performance
        • Return
        • Growth
        • Metrics
        • More
      • External links
  • TraderEvolution for Web
    • Getting started
      • System requirements
      • Login screen
      • Explore the app
      • General settings
      • Hotkeys
      • Managing columns
      • Workspaces
      • Arranging panels
      • Top menu and Status bar
      • Alerts
      • Symbol & Account lookups
    • Analysis tools
      • Chart
        • Chart overview
        • Chart settings
        • Drawings
        • Chart overlay
        • Context menu
      • Grid
      • Watchlist
      • Time & Sales
    • Technical indicators
      • Settings
      • Moving average
        • MD (McGinley dynamic)
        • Regression
        • SMMA (Smoothed moving average)
        • PPMA (Pivot point moving average)
        • SMA (Simple moving average)
        • EMA (Exponential moving average)
        • MMA (Modified moving average)
        • LWMA (Linear weighted moving average)
        • Multi EMA
      • Oscillators
        • MACD (Moving average/Convergence divergence)
        • RSI (Relative strength index)
        • PO (Price oscillator)
        • Momentum
        • CCI (Commodity channel index)
        • Aroon
        • KRI (Kairi relative index)
        • PPO (Percentage price oscillator)
        • RLW (%R Larry Williams)
        • ROC (Rate of change)
        • QStick
        • TSI (True strength index)
        • Stochastic (Stochastic slow)
        • RSI Laguerre
      • Channels
        • BB (Bollinger bands)
        • Keltner channel
        • Price channel
        • MAE (Moving average envelope)
      • Volume
        • Volume
        • VWAP (Volume weighted average price)
        • OBV (On balance volume)
      • Trend
        • SI (Swing index)
        • Pivot point
        • Alligator
        • SAR (Parabolic time/price system)
        • Fractals
      • Volatility
        • ATR (Average true range)
        • CMO (Chande momentum oscillator)
        • SD (Standard deviation)
    • Trading panels
      • Market depth
      • Order entry
        • Position sizing
      • Visual trading
      • Option master
        • Overview
        • Option chain
        • Analyzer
        • Volatility lab
    • Account management
      • Working orders
      • Orders history
      • Saved orders
      • Filled orders
      • Close account requests
      • Positions
      • Assets
      • Statement
      • Subscriptions
      • Copy trading
    • Account information
      • Accounts
      • Positions balance
    • Informative panels
      • Event log
      • Notifications
      • Video
      • Internal Browser
    • Trading ideas
    • More
  • EvoCode
    • Getting started
      • About EvoCode
      • Starting EvoCode
      • Creating a new module
      • General settings
    • Dictionary tool
    • Editing panel
      • Source code editing
      • Editing types/Scripts setup
      • Output & Watch
    • Backtesting panel
      • Backtester
      • Statistics
      • Backtesting Types/Setup
      • Running a backtest
      • Working orders & Positions
      • Orders & Positions history
      • Filled orders
      • Logs
      • Saving scripts, importing and exporting script settings
  • Investing
    • Getting started
    • Portfolio
      • Getting started
      • Positions
      • Positions balance
      • Assets
      • Orders
      • Operations
    • Watchlist
      • Chart
      • Info window
      • Option master
        • Option strategies
    • Discover
      • Symbol lookup
      • Thematic lists
      • Top gainers/Top losers
      • High/Low
    • Trading ideas
    • MAM summary
    • Auto-invest
    • Video
    • More
Powered by GitBook
On this page
  • Calculation
  • Main parameters
  1. TraderEvolution for Mobile
  2. Phones
  3. Technical indicators
  4. Oscillators

Aroon (Dawn's early light)

PreviousRSI (Relative strength index)NextCMO (Chande momentum oscillator)

Last updated 7 months ago

The Aroon indicator was developed by Tushar Chande in 1995, it is an indicator system that determines whether a stock is trending or not and how strong is the trend. The Aroon indicators measure the number of periods during which the price has reached an x-day high or low. There are two separate indicators: Aroon-Up and Aroon-Down. Both lines fluctuate between 0 and 100. The lower the number for Aroon up, the weaker the uptrend, and the lower the number for Aroon down, the weaker the downtrend. When the rising Aroon line is above the falling Aroon line, an uptrend is indicated. When the down line is above the up line, a downtrend is indicated. High values ​​of the Aroon ascending line mean that the price is trading at new highs over a certain period of hindsight. High values ​​of the Aroon descending line mean that the price is trading at new lows for a certain period of hindsight. A value of 100 for an up line indicates a potential emerging uptrend, and a value of 100 for a down line indicates a potential developing downtrend.

In this sense, Aroon indicators are very different from typical momentum oscillators, which focus on price over time. Aroon is unique because it focuses on time over price. Chartists can use Aroon indicators to identify new trends, spot consolidations, define periods of correction, and forecast reversals.

Calculation

The Aroon indicators are shown as a percentage and fluctuate between 0 and 100. Aroon-up is based on price highs while Aroon-down is based on price lows. These two indicators are plotted side-by-side for easy comparison.

Aroon-up = ((P - Days since P-day High)/P) * 100

Aroon-down = ((P - Days since P-day Low)/P) * 100

Where:

P – period of looking back.

Main parameters

Interval –allows setting the indicator period, 14 by default.

Chande states that when Aroon-up and Aroon-down move down in close proximity, it signals that there is a consolidation phase in progress and there is no obvious strong trend. When Aroon-up falls below 50, it indicates that the current trend has lost its upward momentum. Likewise, when Aroon-down falls below 50, the current downtrend loses its momentum. Values above 70 indicate a strong trend in the same direction as Aroon (up or down).

This indicator looks as follows on the chart: