Entries by The Synapse Network

On-Balance Volume (OBV) Indicator

On-balance volume (OBV) is a technical trading momentum indicator that uses volume flow to predict changes in stock price. It was developed by Joseph Granville and introduced in his 1963 book Granville’s New Key to Stock Market Profits. Granville believed that volume was the key force behind markets and designed OBV to predict major moves […]

Volume-Weighted Average Price (VWAP)

The volume-weighted average price (VWAP) is a technical analysis indicator used on intraday charts that resets at the start of each new trading session. It represents the average price at which a security has traded throughout the day, taking into account both price and volume. VWAP is important because it provides traders with insight into […]

What are Volume Indicators for Trading?

Volume refers to the total amount of a security or item that is traded over time, typically within a trading day. For instance, the number of shares exchanged between a stock’s daily open and close is known as its trading volume. Technical traders rely heavily on key information like trading volume and changes in volume […]

Ichimoku Kinko Hyo Cloud Indicator

The Ichimoku Cloud is a collection of technical indicators that show support and resistance levels, as well as momentum and trend direction. It does this by taking multiple averages and plotting them on a chart. It also uses these figures to compute a “cloud” that attempts to forecast where the price may find support or […]

Stoller Average Range Channel (STARC) Bands

Commonly called STARC Bands, Stoller Average Range Channel Bands, developed by Manning Stoller, are two bands applied above and below a simple moving average (SMA) of an asset’s price. The upper band is created by adding the value of the average true range (ATR), or a multiple of it. The lower band is created by […]