Interquartile Range

The interquartile range or midspread is a measure of dispersion of a data set. It is equal to the difference between the 75th and the 25th percentile of the data set. The interquartile range does not take into account outliers and is a significant robust measure of scale.

 

Indicator Description

The interquartile range is a measure of dispersion which is based on dividing a data set into quartiles. Quartiles divide a rank ordered data set into four equal parts. The values that separate the the four parts are called first, second and third quartile. The interquartile range is obtained by subtracting the first quartile from the third quartile.

The interquartile range can be used with larger samples – that is larger chart lookback periods – in combination with other indicators.

The indicator is available for NinjaTrader 8.