Summary

  • Granville's OBV and its variants such as Chaikin's Accumulation/Distribution and Williams' Accumulation/Distribution are independent time series that resemble a price series in so far as they possess fractal trend characteristics.
  • The main signals of the OBV are confirmations and disconfirmations of price trends as well as early warning indications of price breakouts. These signals establish the independence of OBV and its variants from price. This independence, combined with OBV's fractal trend characteristics, means that it's an excellent subject for MIDAS curves when attempting to obtain a deeper underlying insight into price direction that's often absent on price charts.
  • A standard MIDAS S/R curve can be plotted on an OBV line using ...

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