Volume Rate of Change

Overview The Volume Rate-of-Change (“ROC”) is calculated identically to the Price ROC, except it displays the ROC of the security’s volume, rather than of its closing price. Interpretation Almost every significant chart formation (e.g., tops, bottoms, breakouts, etc) is accompanied by a sharp increase in volume. The Volume ROC shows […]

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Positive Volume Index

Overview The Positive Volume Index (“PVI”) focuses on days where the volume increased from the previous day. The premise being that the “crowd” takes positions on days when volume increases. Interpretation Interpretation of the PVI assumes that on days when volume increases, the crowd-following “uninformed” investors are in the market. […]

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