Definition

The High Minus Low study calculates the trading range for each bar on your chart. Essentially, it subtracts the lowest price of the bar from its highest price. This provides a straightforward way to gauge volatility within a single trading period.

Suggested Trading Use

When you see a larger value for High Minus Low, it indicates increased volatility during that trading period. A higher number could mean more trading opportunities due to wider price swings, but it also brings elevated risk.

Conversely, a smaller value signifies less volatility, often indicating a less risky but also less opportunistic trading environment.

Understanding the High Minus Low values can be valuable for setting your stop-loss and take-profit levels more effectively. But remember, High Minus Low is a snapshot of volatility for a specific time frame, so it's beneficial to cross-reference with other indicators to get a fuller view of market conditions.