Syntax
public PVI(Bars ds, string description)
public static PVI Series(Bars ds)
Parameter Description
| Bars |
The symbol's Bars object |
Description
PVI (Positive Volume Index) from the April 2003 issue of
Stocks & Commodities magazine.
The Positive Volume Index was created by Norman Fosback, and its purpose is to expose where "smart money" investment action is occurring. The assumption is that smart money, mostly floor traders, will produce moves in price with less volume than the rest of the crowd.
Interpretation
Fosback compared the PVI with its one year (255 bar) moving average. When PVI is above the moving average, he calculated that there is a 79% chance that there is a bull market in progress, and when it is below the average a 67% chance of a bear market.
See also:
NVI
Example