Tuesday, October 17, 2006
Technical Indicators
Trade Volume Index
Read More...Similar to the On Balance Volume indicator, the Trade Volume Index (TVI) uses price and volume to show whether a security is being purchased or sold. The On Balance Volume (OBV) method works well with daily prices, but it doesn't work as well with intraday tick prices. The difference between the OBV and the TVI is that the TVI makes use of intraday tick data while the OBV uses of end of day data.
Tick prices, especially stock prices, often display trades at the bid or ask price for extended periods without changing. This creates a flat support or resistance level in the chart. During these periods of unchanging prices, the TVI continues to accumulate this volume on either the buy or sell side, depending on the last price change...
Tick prices, especially stock prices, often display trades at the bid or ask price for extended periods without changing. This creates a flat support or resistance level in the chart. During these periods of unchanging prices, the TVI continues to accumulate this volume on either the buy or sell side, depending on the last price change...
