Lessons › Indicators › On-Balance Volume
World 4 · Indicators · lesson 13 · level 3
On-Balance Volume
OBV adds volume on up days and takes it away on down days, so its slope shows which days had the heavier trading.
What it is
Price made a lower low, but volume flow made a higher low. Sellers were running out of force.
Your task in the app
Compare price and volume flow. Buy, sell, or wait?
How often it worked
| Market | Times found | Target first | Stop first | Went nowhere |
|---|---|---|---|---|
| India (NSE) | 96 | 45% | 54% | 1% |
| United States | 127 | 42% | 52% | 6% |
| Japan | 56 | 45% | 54% | 2% |
| Crypto | 1,432 | 34% | 55% | 11% |
| Commodities | 52 | 36% | 44% | 19% |
Counted on real past charts by the Trading Class research engine, 1,763 cases in all. Past odds, not a forecast.
Read more on the OBV bullish divergence pattern page.
Goal of this lesson: Read On-Balance Volume and use its slope to check whether volume supports the trend.