Entries by The Synapse Network

What are Market Breadth Indicators & How do They Work?

Breadth indicators are mathematical formulas that measure the number of advancing and declining stocks, and their volume, to calculate participation in a stock index’s price movements. By evaluating how many stocks are increasing or decreasing in price and the trading volume of these stocks, breadth indicators help confirm stock index trends or warn of potential […]

What is Market Breadth?

Market breadth indicators analyze the number of stocks advancing relative to those declining in a given index or stock exchange, such as the New York Stock Exchange (NYSE) or Nasdaq. Positive market breadth occurs when more stocks are advancing than declining, suggesting that bulls are controlling the market’s momentum and confirming a price rise in […]

Negative Volume Index (NVI)

The negative volume index (NVI) is a technical indicator that integrates volume and price to show how price movements are affected by days when trading volume is lower than the previous day. The NVI is particularly useful in tracking “smart money” movements, typically associated with institutional investors, during low-volume trading days. Understanding Negative Volume Index […]

Positive Volume Index (PVI) Indicator

The positive volume index (PVI) is an indicator used in technical analysis that provides signals for price changes based on positive increases in trading volume. The PVI helps in assessing trend strength and potentially confirming price reversals. It can be calculated for popular market indexes as well as used to analyze movements in individual securities. […]

Ease of Movement Indicator

Richard Arms’ Ease of Movement (EOM or EMV) indicator is a technical study that attempts to quantify a mix of momentum and volume information into one value. The intent is to use this value to discern whether prices are able to rise or fall with little resistance in the directional movement. Theoretically, if prices move […]