The On-Balance Volume is a technical analysis tool that depicts the volume associated with the price movement of an asset. It enumerates the combined volume of an asset traded as the price rises and falls, giving a more concise picture of the momentum driving such price changes.
A full break-down of the On-Balance Volume indicator can be found here: [ Ссылка ]
KEY POINTS
The On-Balance Volume is a momentum-based technical trading indicator that helps traders analyze the volume flow in a traded asset.
It considers the relationship between an asset’s price and its trading volume over a specified period.
The OBV indicator movement helps traders confirm an existing trend and get into new ones by revealing the strength of trends, potential reversals, and divergences between price and volume trends.
It is a leading indicator and works well with other indicators.
