What is OBV?On-Balance Volume
A running total that adds volume on up days and subtracts it on down days, showing where money is flowing.
Learn “OBV” in an animated lesson
- Indicators in Practice & BacktestingIndicator Confluence
Any single indicator is often wrong. When trend, momentum and volume all point the same way, the signal tends to be more reliable, but rarer.
- Volume & Volatility IndicatorsThe A/D Line and Chaikin Money Flow (CMF)
Look not just at whether price closed higher than yesterday, but where the close landed within the day's range: a close near the high means buyers were strong, near the low means sellers were.
- Volume & Volatility IndicatorsOn-Balance Volume (OBV)
Add the volume on up days and subtract it on down days: the running OBV roughly shows whether money is flowing in or out.
Related terms
See how “OBV” works for yourself with an animation you can drag and play.
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