Trade Volume Index - TVI


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.

BREAKING DOWN '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).

  1. Indicator

    Indicators are statistics used to measure current conditions ...
  2. On-Balance Volume (OBV)

    A momentum indicator that uses volume flow to predict changes ...
  3. Momentum

    The rate of acceleration of a security's price or volume. The ...
  4. Bid

    1. An offer made by an investor, a trader or a dealer to buy ...
  5. Day Trader

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

    The price a seller is willing to accept for a security, also ...
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  1. What is the Trade Volume Index (TVI) formula and how is it calculated?

    The trade volume index (TVI) measures the amount of money flowing in and out of a security or the market. The TVI depends ... Read Full Answer >>
  2. How do I use Trade Volume Index (TVI) to create a forex trading strategy?

    The trade volume index (TVI) indicates whether a security is being accumulated or distributed and is calculated using intraday ... Read Full Answer >>
  3. Why is the Trade Volume Index (TVI) important for traders and analysts?

    The trade volume index (TVI) is important for traders and analysts because it indicates whether an asset is being accumulated ... Read Full Answer >>
  4. What is a common strategy traders implement when using the Trade Volume Index (TVI)?

    The trade volume index (TVI) indicates whether an asset is being accumulated or sold. It is calculated using intraday tick ... Read Full Answer >>
  5. What are some of the most common technical indicators that back up Doji patterns?

    The doji candlestick is important enough that Steve Nison devotes an entire chapter to it in his definitive work on candlestick ... Read Full Answer >>
  6. Tame Panic Selling with the Exhausted Selling Model

    The exhausted selling model is a pricing strategy used to identify and trade based off of the price floor of a security. ... Read Full Answer >>

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