Trading Index

Trading index (also known as the " Arms " index, or " TRIN ") measures the relative strength of Volume Accumulation associated with an advancing commodity, or futures, against the strength of volume associated with a declining commodity, or futures. When used as a short term indicator, readings below 1.0 are considered bullish while readings above 1.0 are considered bearish. An extreme bearish reading would be 1.5 or higher; an extreme bullish reading would be .5 and lower. Readings of 2.0 or .3 would be considered climactic. For the intermediate term, a bearish sign is an index over 1.0, bullish under 1.0. For the long term, the Trading Index can be viewed as an overbought / oversold indicator.

 Time Cycles                          Technical Analysis Terms                          Trix 

Information is believed to be reliable and is provided 'as is' without warranty.