{"id":12170,"date":"2026-05-22T13:38:20","date_gmt":"2026-05-22T13:38:20","guid":{"rendered":"https:\/\/lemonn.co.in\/blog\/glossary\/aroon-indicator\/"},"modified":"2026-05-22T13:38:20","modified_gmt":"2026-05-22T13:38:20","slug":"aroon-indicator","status":"publish","type":"glossary","link":"https:\/\/lemonn.co.in\/blog\/glossary\/aroon-indicator\/","title":{"rendered":"Aroon Indicator"},"content":{"rendered":"<p>The <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/aroon-indicator\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Aroon indicator<\/a>, developed by Tushar Chande in 1995, measures how long it has been since a security made a new high or new low over a chosen period. It plots two lines &#x2014; Aroon Up and Aroon Down &#x2014; both ranging from 0 to 100. The crossover between these lines is a classic trend-change signal that Indian traders rely on for early entries.<\/p>\n<div><strong>Key takeaways:<\/strong>\n<ul>\n<li>Aroon Up = 100 &#xD7; (period &#x2212; periods since N-period high) &#xF7; period.<\/li>\n<li>Aroon Down = 100 &#xD7; (period &#x2212; periods since N-period low) &#xF7; period.<\/li>\n<li>Default period is 25; common alternatives include 14 and 9.<\/li>\n<li>Aroon Up crossing above Aroon Down suggests a new uptrend.<\/li>\n<li>Both lines below 50 = consolidation; both above 70 = strong trend.<\/li>\n<\/ul>\n<\/div>\n<h2 id=\"how-aroon-works\">How Aroon works<\/h2>\n<p>The indicator answers a simple question: how recently did this stock make a new high or low over the last N periods? If the high was made today, Aroon Up = 100; if it was 25 periods ago (out of 25), Aroon Up = 0. The same logic applies to lows for Aroon Down. Strong, recent highs in either direction signal an active trend.<\/p>\n<h2 id=\"signals-to-look-for\">Signals to look for<\/h2>\n<ul>\n<li><strong><a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/bullish\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Bullish<\/a> crossover:<\/strong> Aroon Up crosses above Aroon Down &#x2014; new uptrend candidate.<\/li>\n<li><strong><a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/bearish\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Bearish<\/a> crossover:<\/strong> Aroon Down crosses above Aroon Up &#x2014; possible downtrend start.<\/li>\n<li><strong>Aroon Up at 100, Aroon Down near 0:<\/strong> Stock making frequent new highs &#x2014; strong uptrend.<\/li>\n<li><strong>Both lines below 50:<\/strong> Sideways consolidation; trend strategies are unreliable.<\/li>\n<\/ul>\n<h2 id=\"aroon-oscillator\">Aroon Oscillator<\/h2>\n<p>The Aroon Oscillator is simply Aroon Up minus Aroon Down. It ranges from &#x2212;100 to +100. Crossing zero is equivalent to the Aroon line crossover. Many platforms plot it as a single line for easier reading.<\/p>\n<h2 id=\"worked-example-on-nifty\">Worked example on <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/nifty\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Nifty<\/a><\/h2>\n<p>If Nifty makes a new 25-day high today, Aroon Up = 100. If the 25-day low was, say, 10 sessions ago, Aroon Down = 60. The Up line is well above Down &#x2014; a confirmed uptrend. Pullbacks during such phases are buying opportunities until Aroon Up falls below 70.<\/p>\n<h2 id=\"limitations\">Limitations<\/h2>\n<ul>\n<li>Aroon can give late signals in fast-moving markets.<\/li>\n<li>It works poorly in choppy markets where new highs and lows alternate.<\/li>\n<li>Default 25 may be too slow for intraday; experiment with 9 or 14.<\/li>\n<\/ul>\n<h2 id=\"combining-aroon-with-other-tools\">Combining Aroon with other tools<\/h2>\n<p>Pair Aroon with ADX to confirm trend strength. Use <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/moving-averages\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">moving averages<\/a> to filter trade direction. On daily charts, Aroon + ADX + price-action gives a robust framework for catching early-stage trend trades.<\/p>\n<h2 id=\"frequently-asked-questions\">Frequently asked questions<\/h2>\n<div>\n<h3 id=\"is-the-aroon-indicator-a-leading-indicator\">Is the Aroon indicator a leading indicator?<\/h3>\n<p>Partially &#x2014; it identifies new highs\/lows quickly but still lags pure price action.<\/p>\n<h3 id=\"default-period-of-25-is-that-fixed\">Default period of 25 &#x2014; is that fixed?<\/h3>\n<p>No. Use 9&#x2013;14 for intraday, 25 for daily swing, 50+ for weekly trends.<\/p>\n<h3 id=\"does-aroon-work-on-commodities\">Does Aroon work on commodities?<\/h3>\n<p>Yes &#x2014; Chande designed it generically; it works wherever price data exists.<\/p>\n<h3 id=\"can-i-use-the-aroon-oscillator-alone\">Can I use the Aroon Oscillator alone?<\/h3>\n<p>It is best used with other tools. Aroon signals during ranging markets are unreliable.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Aroon indicator, developed by Tushar Chande in 1995, measures how long it has been since a security made a new high or new low over a chosen period. It plots two lines &#x2014; Aroon Up and Aroon Down &#x2014; both ranging from 0 to 100. The crossover between these lines is a classic trend-change [&#x2026;]<\/p>\n","protected":false},"author":3,"featured_media":0,"menu_order":0,"template":"","meta":{"_uag_custom_page_level_css":"","footnotes":""},"class_list":["post-12170","glossary","type-glossary","status-publish","hentry"],"blocksy_meta":[],"uagb_featured_image_src":{"full":false,"thumbnail":false,"medium":false,"medium_large":false,"large":false,"1536x1536":false,"2048x2048":false,"web-stories-poster-portrait":false,"web-stories-publisher-logo":false,"web-stories-thumbnail":false},"uagb_author_info":{"display_name":"Team Lemonn","author_link":"https:\/\/lemonn.co.in\/blog\/author\/ashu\/"},"uagb_comment_info":0,"uagb_excerpt":"The Aroon indicator, developed by Tushar Chande in 1995, measures how long it has been since a security made a new high or new low over a chosen period. It plots two lines &#x2014; Aroon Up and Aroon Down &#x2014; both ranging from 0 to 100. The crossover between these lines is a classic trend-change&hellip;","_links":{"self":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/12170","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary"}],"about":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/types\/glossary"}],"author":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/users\/3"}],"version-history":[{"count":0,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/12170\/revisions"}],"wp:attachment":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media?parent=12170"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}