On Balance Volume (OBV)
On Balance Volume (OBV) is a technical indicator that accumulates volume on up days and subtracts volume on down days to reflect buying and selling pressure behind price changes.
Example: If a stock's price closes higher for several consecutive days and OBV also rises, the indicator suggests that volume is aligning with the price advance; if the price rises while OBV declines, there may be a divergence worth noting.
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