Price Volume Trend

The Price Volume Trend is an indicator which attempts to measure the strength of trends based upon volume and price change.

Price Volume Trend

The Price Volume Trend is an indicator which attempts to measure the strength of trends based upon volume and price change.


Price Volume Trend Calculation

The Price Volume Trend is the cumulative sum of the daily percentage price difference (price,today-price,yesterday/price,yesterday) multiplied by volume. No parameters are required for this indicator.

Application of Price Volume Trend

The Price Volume Trend is used in conjunction with the price plot. Prices are expected to rise when there is a bullish divergence between the Price Volume Trend and the closing price and prices are expected to fall if there is a bearish divergence. The Price Volume Trend attempts to determine the strength of trends based upon volume and pricechange.

Price chart with Price Volume Trend charted below.  The chart shows divergence between price and indicator
 

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