Supertrend

Supertrend is an ATR-based trend indicator that plots dynamic bands around price. Learn how triple-timeframe Supertrend filters noise and signals trend reversals.

What is Supertrend?

Supertrend is an ATR-based trend-following indicator that plots dynamic support and resistance bands around price. When price closes above the band, the trend is bullish; below indicates bearish. Our system evaluates three calibrations — Short (ATR 7, ×2.0), Medium (ATR 10, ×3.0), and Long (ATR 14, ×4.0). Triple alignment across all three is a high-conviction trend signal.

How Traders Use Supertrend

  • Trend-following entry: when price closes above the Supertrend band after being below.
  • Trailing stop: exit when price closes back across the band.
  • Triple-timeframe confirmation: Short, Medium, and Long all bullish = high-conviction trend.
  • Best in trending markets: weaker in chop — pair with ADX to gauge trend strength.

Where We Use Supertrend in Our Penny Stock Scans

Related Indicators