Trade Volume Index - TVI

AAA

DEFINITION of 'Trade Volume Index - TVI'

A technical indicator that measures the amount of money flowing in and out of an asset. Unlike many technical indicators, the TVI is generally created using intraday price data. The underlying assumption of this indicator is that there is buying pressure when the price trades near the asking price and selling pressure when it trades near the bid.

INVESTOPEDIA EXPLAINS 'Trade Volume Index - TVI'

This indicator is very similar to the on-balance volume indicator except that it focuses on the volume attributed to every trade rather than the closing volume that is attributable to all trades. This indicator is primarily used by day traders to identify whether a security is being accumulated (bought) or distributed (sold).

RELATED TERMS
  1. On-Balance Volume (OBV)

    A momentum indicator that uses volume flow to predict changes ...
  2. Ask

    The price a seller is willing to accept for a security, also ...
  3. Bid

    1. An offer made by an investor, a trader or a dealer to buy ...
  4. Indicator

    Statistics used to measure current conditions as well as to forecast ...
  5. Day Trader

    A investor who attempts to profit by making rapid trades intraday. ...
  6. Intraday

    Another way of saying "within the day". Intraday price movements ...
Related Articles
  1. Confirming Price Movements With Volume ...
    Active Trading Fundamentals

    Confirming Price Movements With Volume ...

  2. The Basics Of Money Flow
    Technical Indicators

    The Basics Of Money Flow

  3. On-Balance Volume: The Way To Smart ...
    Technical Indicators

    On-Balance Volume: The Way To Smart ...

  4. Day Trading Strategy Steps
    Trading Strategies

    Day Trading Strategy Steps

comments powered by Disqus
Hot Definitions
  1. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  2. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  3. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  4. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
  5. Over The Counter

    A security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, etc. The phrase "over-the-counter" ...
  6. Earnings Before Interest After Taxes - EBIAT

    A financial measure that is an indicator of a company's operating performance. EBIAT, which is equivalent to after-tax EBIT ...
Trading Center