The Aroon indicator is designed to reveal the beginning of a new trend. Aroon means “Dawn’s Early Light” in Sanskrit. It was developed by Tushar Chande in 1995. It is made up of two lines: one line is called “Aroon up”, which measures the strength of the uptrend, and the other line is called “Aroon down”, which measures the downtrend.

aroon-indicator

The indicator reports the time it is taking for the price to reach, from a starting point, the highest and lowest points over a given time period, each reported as a percentage of total time.

When the Aroon up (green) line spikes up, it’s the start of a new uptrend. When the Aroon down (red) line spikes up, it’s the start of a new downtrend.

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