# Using ATR to Create Profit Target

#### TreeDT

##### New member
I've been working on trying to reverse the ATRTrailingStop and create ATRTrailingProfit. I have put the following code together, but it's not plotting anything. What have I done wrong? Anyone have any ideas?

Code:
``````input trailType = {default modified, unmodified};
input ATRPeriod = 5;
input ATRFactor = 3.5;
input firstTrade = {default long, short};
input averageType = AverageType.WILDERS;

Assert(ATRFactor > 0, "'atr factor' must be positive: " + ATRFactor);

def HiLo = Min(high - low, 1.5 * Average(high - low, ATRPeriod));
def HRef = if low <= high[1]
then high - close[1]
else (high - close[1]) - 0.5 * (low - high[1]);
def LRef = if high >= low[1]
then close[1] - low
else (close[1] - low) - 0.5 * (low[1] - high);

def trueRange;
switch (trailType) {
case modified:
trueRange = Max(HiLo, Max(HRef, LRef));
case unmodified:
trueRange = TrueRange(high, close, low);
}
def target = ATRFactor * MovingAverage(averageType, trueRange, ATRPeriod);

def state = {default init, long, short};
def trail;
switch (state[1]) {
case init:
if (!IsNaN(target)) {
case long:
state = state.long;
trail =  close + target;
case short:
state = state.short;
trail = close - target;
}
} else {
state = state.init;
trail = Double.NaN;
}
case long:
if (close < trail[1]) {
state = state.long;
trail = Max(trail[1], close + target);
} else {
state = state.short;
trail = close - target;
}
case short:
if (close > trail[1]) {
state = state.short;
trail = Min(trail[1], close - target);
} else {
state = state.long;
trail =  close + target;
}
}

def BuySignal = Crosses(state == state.long, 0, CrossingDirection.ABOVE);
def SellSignal = Crosses(state == state.short, 0, CrossingDirection.ABOVE);

plot TrailingTarget = trail;

TrailingTarget.SetPaintingStrategy(PaintingStrategy.POINTS);
TrailingTarget.DefineColor("Sell", GetColor(1));
TrailingTarget.AssignValueColor(if state == state.long
then TrailingTarget.Color("Sell")

Following

##### Well-known member
VIP
Go into the studies setting panel and switch the TrailingTarget Values from Numerical to Boolean...

Just remember that switching something on or off requires a boolean... Displaying data on a chart requires numerical data...

Edited to Add: I may have answered prematurely... The power was out here for 7 hours due to severe wind and thunderstorms and I was just trying to get caught up before heading off to bed... I may have misconstrued what, exactly, you are trying to accomplish... If that is the case then more tweaking may be required but I will wait to hear back...

Last edited:

#### TreeDT

##### New member
Go into the studies setting panel and switch the TrailingTarget Values from Numerical to Boolean...

Just remember that switching something on or off requires a boolean... Displaying data on a chart requires numerical data...

Edited to Add: I may have answered prematurely... The power was out here for 7 hours due to severe wind and thunderstorms and I was just trying to get caught up before heading off to bed... I may have misconstrued what, exactly, you are trying to accomplish... If that is the case then more tweaking may be required but I will wait to hear back...
Thanks for the reply. Sorry for the delayed response. I can't locate a studies setting panel.

Ultimately, I want to incorporate the ATR based profit take within a strategy, but I thought I would start with a study to make sure it was plotting correctly. I actually copied the ATRTrailingStop pre-built in TOS and just flipped it to be a Profit Take. For some reason it's not plotting correctly.

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