What is the Supertrend indicator?

The Supertrend indicator is a trend-following tool that appears directly on the price chart to identify whether the market is currently in an uptrend or a downtrend. It measures recent price volatility and uses that information to draw a dynamic line that flips when a trend reversal is confirmed.

Instead of analysing multiple moving averages or interpreting complex chart structures, the Supertrend shows whether the market bias is bullish or bearish, where the current trend boundary lies, and when a confirmed trend shift occurs. This can help you distinguish between a temporary pullback and a real trend reversal.