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Supertrend: a line that follows the trend

A trailing line that follows price and flips when the trend changes.

Supertrend: a line that follows the trendA price line with a green line below it in uptrends and a red line above it in downtrends.Price (made-up)
Illustration on a made-up price series, not market data. Hypothetical, for education only.

What it measures

It is built from the average true range (ATR, how much price typically moves) times a factor. It sits below price in an uptrend and above it in a downtrend.

How to read it

A common mistake

Using a very small factor. The line sits so close that normal noise flips it again and again.

Check yourself

1. What is Supertrend built from?
2. In an uptrend the Supertrend line is ...
3. A very small factor makes the line ...

Try it

Run the Supertrend Follower template and look at how long it stays in each trend.

Open the app

Educational content. Not investment advice. Past or simulated results do not predict future results.