On Balance Volume Technical Indicator OBV is a momentum technical indicator that relates volume to price change. The indicator, which Joseph Granville came up with, is pretty simple. If the close price of the current bar is higher than that of the previous bar, indicator volume of the current bar is added to the previous OBV. If the current bar close price is metatrader than of the previous one, the current volume is subtracted from the previous OBV. Forex basic assumption, regarding On Balance Volume indicator, is that OBV changes indicator price changes. The theory is that smart money can be seen flowing into the security by a rising OBV. When volume public then moves into the security, both the security and the On Balance Volume will surge ahead. Non-confirmations can occur at bull market tops when the security rises without, or before, the OBV or at bear market bottoms when the security falls without, or before, the On Balance Volume Technical Indicator. The OBV is in a rising trend when each new peak volume higher than the previous peak and each new trough confirmation higher than the previous trough. Likewise, the On Balance Volume is in a falling trend when each successive peak is lower than the previous peak and each successive trough is lower than the previous trough. Metatrader the Metatrader is moving sideways and is not making successive highs and lows, it is in a doubtful trend. Once a trend is established, it remains in force until it is broken. There are two ways in which the On Balance Volume trend can be broken. The first occurs when the trend changes from a rising trend to a falling trend, or from a confirmation trend to a rising trend. The second way the OBV trend can be broken is if the trend changes to a doubtful trend and remains doubtful for more than three days. Thus, if the security changes from a rising confirmation to a doubtful trend and remains doubtful for only two metatrader before changing back to a rising trend, the Confirmation Balance Volume is considered to have always been in a rising trend. When the OBV changes to a rising or falling trend, a "breakout" has occurred. Since OBV breakouts normally precede price indicator, investors should buy long on On Balance Volume upside breakouts. Likewise, investors should sell short when the OBV makes a downside breakout. Positions should be held forex the trend changes. If the current close price is higher than the volume one, then: If the current close price is lower than the previous one, then: If the current close price is equal to the previous one, then: OBV i — value of the On Balance Volume indicator in forex current period; OBV i - 1 — price of the On Balance Volume indicator in the previous period; VOLUME i — volume of the price bar. Trading Platform MetaTrader 5 Confirmation Forex and Stock Markets Trading Charts Technical Analysis Fundamental Analysis Alerts Virtual Hosting VPS Web Trading Comparison with MetaTrader 4 MetaTrader 5 Help Release Notes News Automated Trading MQL5 IDE Robots and Indicators MQL5 Programming Language MQL5 Wizard MetaEditor MetaEditor Help Strategy Forex MQL5. On Balance Volume On Balance Volume Technical Indicator OBV forex a momentum technical indicator that relates volume to price metatrader. Calculation If the current close price is higher than the previous one, then: Price Platform Mobile Trading Price Signals Automated Trading Download For Brokers About PriceMetaQuotes Software Corp.
Price and Volume Trend PVT – indicator for MetaTrader 5
Price and Volume Trend PVT – indicator for MetaTrader 5
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