An indicator that judges whether a new trend has started by how long ago the recent high and low were made.
- Weapon tier
- Advanced
- Slots used
- Sub-charts 1/2
- Created by
- Tushar Chande · 1995
Concept
Aroon looks at “time”, not at the size of the price. If the recent high was made just now, the up side is alive; if it was made long ago, the rise is seen as having lost strength.
The panel shows the aroonUp line (for highs) and the aroonDown line (for lows) between 0 and 100, with dotted lines at 30 and 70. On a candle that makes a new high, aroonUp becomes 100, and while no new high comes it drops a little with every candle. That gives the lines their “saw-tooth” shape.
- aroonUp
- aroonDown
Charts by TradingView Lightweight Charts™
80 candles with volume and the aroonUp and aroonDown lines in the panel. In the first part the price falls, aroonDown often goes up to 100 and aroonUp stays low. At candle 60 (arrow) aroonUp climbs above aroonDown and soon reaches 100. Keyboard: ←/→ to move, +/− to zoom, 0 to see the whole chart.
After the arrow, aroonUp stays near 100 and then, with no new high, steps down candle by candle. The price also moves sideways from about that point. Aroon only says “how fresh the recent high is”, so it shows that a rise has paused but not where the price goes next. Drag the chart sideways with a finger or the mouse to move it, and pinch with two fingers to zoom in. With a keyboard, click the chart, then use ←/→ to move and +/− to zoom.
How it is calculated
In the window of the last 25 candles plus today, find the candle with the highest high and count the candles from it up to today.
aroonUp = 100 × (25 − candles passed) ÷ 25. If today is the highest, it is 100; if the first candle of the window is the highest, it is 0.
aroonDown counts the lowest low in the same way.
How far the price rose does not enter into it. A new high that is only slightly higher still gives 100.
Parameters
| What it sets | Name in the game | Default | Range |
|---|---|---|---|
| Candles searched for the highest high and lowest low | period | 25 | 2 – 100 |
Trading ideas
Crosses: when aroonUp climbs above aroonDown, it is commonly read as a turn to the up side. The chart on this page shows that scene.
Strong trend: when aroonUp stays above 70 and aroonDown stays below 30, it is seen as an uptrend that keeps making new highs. A downtrend is the reverse.
Both low: neither a new high nor a new low has come for a while, so it is seen as a sideways market.
Common traps
- Even when the price just touches the top and bottom of a narrow box in turn, the two lines swing widely and cross. Following crosses alone gives many false signals.
- Reaching 100 only means “a new high was just made”, not that the price will keep rising.
- The chart on this page was chosen as a scene where the price rose after the cross. It does not always go that way.
In the game
- “Aroon” is a “Advanced” weapon and uses 1 of the “Sub-charts” panels (limit 2). Volume in the starting setup already uses 1, so adding Aroon brings it to 2 (0 left).
- The panel shows the aroonUp and aroonDown lines and dotted lines at 30 and 70.
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- 2. Trends and sideways moves