Offer your thoughts or opinion on the input financial query or topic using your financial background.

Is the average true range a better measure of volatility than historical volatility
ATR really looks at the volatility within the day -- So you would be able to see if the stock is becoming more or less volatile in daily trading.  This is often useful for charting and finding entry and exit locations.   Traditional historic volatility (as you cited) will give you a look at the long term volatility of the security.  The example of this is that there could be trends up or down but the same daily volatility (same ATR) There are methods that try to incorporate both intraday information along with historic volatility.  As for which is a better measure of volatility-- it depends on what you are using the measure for.