Accumulation Distribution is a price and volume indicator.- When the Accumulation/Distribution moves up, it shows that the security is being accumulated (Buying), as most of the volume is associated with upward price movement.- When the indicator moves down, it shows that the security is being distributed (Selling), as most of the volume is associated with downward price movement.- Divergences between the Accumulation/Distribution indicator and the price of the security indicate the upcoming change of prices.
Thursday, July 10, 2008
Accumulation/Distribution (AD)
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