![]() Rather than the value, one should focus on its direction. Similarly when the stock closes lower than the previous close, then all of the day’s volume is considered down-volume. When the stock closes higher than the previous close, then all of the day’s volume is considered up-volume. On Balance Volume (OBV) is the volume indicator that calculates the buying and selling pressure as a cumulative indicator which sums up volume on up days and subtracts volume on down days. Having understood the importance of high and low volume, now let us discuss 9 Types of Volume Indicators that will help the traders to analyse volume in trading: 1. Similarly, when the stock is moving down and volume is falling then it indicates the interest of the sellers have reduced in the stock and the downtrend is going to reverse.īelow is a table which summarizes the above: Price When the stock is moving up and volume is falling then it indicates the interest of the buyers has reduced in the stock and the uptrend is going to reverse. Low volume indicates lack of interest in that particular stock. ![]()
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |