Stock tradingOn-Balance Volume (OBV)By Mehrzad Abdi | 19 November 2024Abstract
On-Balance Volume (OBV) is a technical indicator that uses volume flow to predict changes in stock price. This article explores the mathematical foundations of OBV, its significance in financial markets, and how traders can develop effective trading strategies using it. By integrating OBV with other technical indicators and employing algorithmic approaches, traders can enhance their market analysis and execution. This comprehensive guide provides both theoretical and practical insights, supported by empirical evidence and academic references.