Accumulation Swing Index

The Accumulation Swing Index was developed by Welles Wilder.  Wilder noted that the Accumulation Swing Index provides a numerical value that quantifies price swings.

Accumulation Swing Index

The Accumulation Swing Index was developed by Welles Wilder and described in his popular technical analysis book New Concepts in Technical Trading Systems.  Wilder noted that the Accumulation Swing Index provides a numerical value that quantifies price swings, defines short-term swing points, and it cuts through the maze of high, low, and close prices while indicating the real strength and direction of the market.


Accumulation Swing Index Calculation

The Accumulation Swing Index is a cumulative total of the Swing Index. The Swing Index and the Accumulation Swing Index require opening prices.

Accumulation Swing Index Interpretation

The Accumulation Swing Index attempts to show the "real market" because it closely resembles prices themselves.  It attempts to provide an indication of the real strength and direction of a price trend by providing a single indicator line which can be analyzed for support and resistance lines just like a basic price chart.

The Accumulation Swing Index shows real strength and direction of a price trend by use of a single indicator line which can be analyzed for support and resistance lines.
The Accumulation Swing Index shows real strength and direction of a price trend by use of a single indicator line which can be analyzed for support and resistance lines.

If the long-term price trend is up, the Accumulation Swing Index will be positive. If the long-term price trend is down, it will be negative. If the long-term price trend is oscillatory, the Accumulation Swing Index will fluctuate from plus to minus.  Typical analysis involves looking for breakouts, new highs and lows, and divergences.

The Accumulative Swing Index is best used as a confirmation tool with other technical indicators and charting patterns

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