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Totally agree with that. ATR is so simple, so old and so widely implemented across all platforms that I think people don't notice its true potential. People are often searching the binary supermegaindicator "all in one" and miss the exposed treasures like ATR.
Personally, I usually use ATR when setting STOPS and Profit Targets. It gives to the strategies some self-adjust capacity.
ADR is the average daily range over the last N days. The indicator that you used calculates a simple moving average (SMA) of the daily range of the last 10 days and the last 20 days.
ATR as shown on your daily chart is the average true range of the last 14 days. The average true range will differ from the average daily range for many reasons:
(1) Data input: your daily data may be different (full or regular session data) when compared to intraday data. This would be particularly true if you use a false session template such as 24/7 for your intraday chart.
(2) Difference between range and true range: When price gaps up or down, the gap is included with the true range but not with the range. Please make sure that you understand the difference between true range and simple range.
(3) Different moving averages used for smoothing: The average daily range is smoothed with a simple moving average, the average true range uses exponential smoothing.
(4) Wilder's definition of the smoothing period of an exponential moving average. The average true range uses a smoothing constant of 1/k. With k = 14 this is equivalent to n = 27, as 1/14 = 2/(1+ 27). The ATR(14) is therefore the same as an EMA(TR, 27), where TR is the true range and ATR is the average true range.
(5) Finally you used different nominal periods for the ADR and the ATR.
All you are seeing there is that during "active" market hours the price moves around more. In the "off" hours, there is not as much trading, and the range contracts.
I don't think a 1 minute ATR tells you anything you don't already know: higher volume times usually mean bigger ranges.
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