Session ATR Risk ToolSession ATR Risk Tool
## Overview
The Session ATR Risk Tool is a discretionary **risk-management and trade-planning overlay**. It sizes a stop loss from market volatility, projects fixed reward-to-risk targets (1:1, 1:2, 1:3), and draws a standard-deviation ladder so you can see your full trade geometry on the chart before you enter. It also estimates a contract count from a fixed dollar risk, and prints a context table of intraday, daily and weekly volatility.
It is built and tuned for Micro E-mini Nasdaq-100 (MNQ) intraday trading, but every parameter is exposed as an input, so it works on any symbol once you set the correct point value.
This tool does **not** generate buy/sell signals and makes no claim about win rate or profitability. It is a visualization and planning aid only.
## What makes it different
Most reward-to-risk tools place lines a fixed number of ticks or a single ATR away. This tool adds three things in one package:
1. **Two selectable stop engines.** The stop distance can be derived from either the chart-timeframe ATR (small, realistic intraday stops) or from a rolling average of completed *session* ranges (swing-sized stops). You choose which volatility regime sizes your risk.
2. **A standard-deviation ladder denominated in your own stop distance.** Instead of arbitrary fib or price-percent levels, each rung is a multiple (−0.5, 1, 2, 3, 4 by default, all editable) of the exact ATR-based stop distance, projected from entry. One "sd" on the chart always equals one unit of the risk you are actually taking.
3. **A volatility context table.** Intraday ATR, averaged session range, daily ATR(14) and weekly ATR(14) are shown side by side so the chosen stop can be judged against higher-timeframe volatility at a glance.
## How it works
- **Session range capture.** The script tracks the high and low of each completed session window (default 09:30–16:00 exchange time) and stores the high-low range. It keeps a rolling buffer of the most recent N sessions (default 10) and averages them to produce a "session ATR" in points.
- **Intraday ATR.** A standard ATR of configurable length is calculated on the chart timeframe for scalp-sized stops.
- **Stop distance.** `Stop distance = chosen basis × ATR multiplier`, where the basis is either the intraday ATR or the averaged session range. The multiplier lets you tighten or widen the stop.
- **Trade geometry.** From the entry price (live price by default, or a fixed price you type in) and the trade direction, the tool places the stop one stop-distance against you, then projects targets at 1×, 2× and 3× the stop distance for clean 1:1 / 1:2 / 1:3 reward-to-risk.
- **Standard-deviation ladder.** Each ladder rung is plotted at `entry + direction × stop distance × deviation`, giving an evenly scaled map of where price sits relative to your risk unit.
- **Position-size estimate.** Dollar risk per contract = stop distance × point value. Estimated contracts = floor(risk per trade ÷ dollar risk per contract). This is an arithmetic estimate for planning, not an order-routing instruction.
- **Higher-timeframe context.** Daily and weekly ATR(14) are pulled from confirmed higher-timeframe bars (non-repainting) for the context table.
All levels are drawn as faded horizontal rays anchored to the bar grid, so they stay locked to the candles when you pan or zoom. Drawings rebuild on the most recent bar to keep the chart clean.
## How to use it
1. Add the tool to an intraday chart of the instrument you trade.
2. Set **$ per Point** for your instrument (MNQ = 2.0, NQ = 20.0, MES = 5.0, etc.) and your **Risk per Trade ($)**.
3. Choose your **Stop Basis** — "Intraday ATR" for scalps and intraday entries, "Session Range" for wider, swing-style stops.
4. Adjust the **ATR Multiplier** to set how far the stop sits from entry. As a starting guide, roughly 1.0–2.0× with Intraday ATR on a 1–5 minute chart; if using Session Range, scale the multiplier down (around 0.10–0.20×) because the session range is much larger.
5. Set **Trade Direction** (Long or Short). Leave **Entry Price** at 0 to anchor the levels to live price, or type your actual fill price to lock the geometry in place after entry.
6. Read your plan off the chart: the Stop, the 1:1 / 1:2 / 1:3 targets, the standard-deviation ladder, and the info table showing the stop in points and dollars plus an estimated contract count.
## Inputs
- **Session Window / Sessions to Average** — defines the session and how many completed sessions feed the averaged session range.
- **Stop Basis / Intraday ATR Length / ATR Multiplier** — select and tune the volatility source for the stop.
- **Trade Direction / Entry Price** — direction toggle and optional fixed entry.
- **$ per Point / Risk per Trade ($)** — instrument tick value and account risk used for the size estimate.
- **SDev Ladder deviations** — the five editable ladder multiples.
- **Visual controls** — ray length back/forward, table toggle, and colors for up, down and entry levels.
## Notes and limitations
- The contract-count figure is an arithmetic estimate from your inputs. It is not connected to a broker and places no orders. Always confirm size and risk in your own platform.
- "Session ATR" here means the averaged high-low **range** of recent sessions, not a true-range calculation; it is intentionally a wider, regime-level measure.
- Higher-timeframe ATR values use confirmed bars to avoid repainting.
- Reward-to-risk targets are fixed geometric projections; they are not predictions of price reaching those levels.
- This script is a planning and visualization tool only. It is not financial advice and does not guarantee any outcome.
Indicator
