(I was just comparing ranges to atr and found it a better way to calcuate NR days).
Just to clarify the difference between , Daily Range and ATR (Average True Range)
Daily range just looks at difference of Day's high and low.
ATR is derived from the True Range which is the greatest of the following three values:
1) difference between the Today's high and low (i.e. daily range)
2) difference between the Previous Close and Today's High
3) difference between the Previous Close and Today's Low.
That means, ATR does take into consideration the opening gap.
So when we a day with wide gap but then for the whole day the action was in narrow range, we might get a NR signal.. but on ATR front it might still show as high ATR day.
With this background, I would not use ATR to identify NR days.
Happy Trading.