Definitions
In plain terms
It supplies the equal price-unit offset from the EMA basis to each modern Keltner envelope.
Technical
Distance is k times ATR after the ATR path is ready and uses the same price basis as the center and OHLC inputs.
Scope
It is a directionless range scale, not a confidence interval or expected price move.
Formula
Keltner distance = multiplier * ATRD_t=k\,ATR_t| Symbol | Meaning | Unit |
|---|---|---|
k | Keltner range multiplier | ratio |
ATR_t | current Average True Range | price units |
Output unit: price units
Examples
- A reviewer traces Keltner ATR Envelope Distance from aligned inputs through its first-ready row and edge cases before accepting a displayed value.
Common misconceptions
- It is a directionless range scale, not a confidence interval or expected price move.
Concept relationships
Where this concept is used
Evidence and governance
- Keltner Channels TradingView · official platform documentation
Supports: preferred label, short definition, technical definition, formula
Limits: The platform example does not prescribe universal seeds, periods, contact meaning, or predictive performance.
- Average True Range TA-Lib · first party technical publication
Supports: preferred label, short definition, technical definition, formula
Limits: Seed, smoothing convention, lookback, and missing-bar handling must be declared for reproducible use.
- Reviewed by
- fintech-builder-batch-009
- Last reviewed
- 2026-07-30
- Next review
- 2027-07-30
- Record status
- published