Trend and moving averages
Aroon Indicator
Aroon Up and Aroon Down show how many candles have passed since the last N-period high and low, on a 0-100 scale.
How to read it
- Aroon Up near 100 = recent new highs (uptrend).
- Aroon Up crossing above Aroon Down signals a possible new uptrend.
- Both low = no clear trend.
Settings
Default 14 (some use 25).
Example rule to test
Scan idea: Aroon Up above 70 and Aroon Down below 30.
Common mistake
Ignoring the price chart; Aroon only counts time since highs and lows.
Try it free on iTradeChart
For learning only. Backtests use past data and do not guarantee future results. Not investment advice.