Negative Volume Index (NVI)
Contents
Deciphering Negative Volume Index (NVI): A Technical Analysis Tool
Unlocking the Mystery of Negative Volume Index (NVI)
Explore the intricacies of the negative volume index (NVI), a technical indicator that combines volume and price movements to illustrate the impact of down volume days on market trends. Discover how NVI can be utilized alongside the positive volume index (PVI) to gauge investor sentiment and identify potential market trends.
Understanding Negative Volume Index (NVI) and Its Significance
Delve into the origins of NVI and its development alongside PVI, tracing back to the pioneering work of Paul Dysart in the 1930s. Learn how NVI trendlines can provide valuable insights into institutional investor behavior and market dynamics, offering a nuanced perspective on price movements influenced by volume.
Crunching the Numbers: Negative Volume Index (NVI) Calculations
Grasp the methodology behind NVI calculations, dissecting the equation that determines NVI based on changes in trading volume from one day to the next. Gain a deeper understanding of how NVI values reflect shifts in market sentiment and investor activity, paving the way for informed decision-making in trading and investment strategies.