Futures Charts
- Technical Analysis Help
Accumulation Distribution
Indicator
Description:
Accumulation Distribution is a price indicator that
attempts to identify the beginning of a Bull or Bear
market move. Accumulation represents the acquisition of
long positions and Distribution represents the acquisition
of short positions.
Conventional Analysis:
Divergence between price and indicator.
Divergence during market action, not at such extremes, may
be open to different
interpretation. Some traders may apply the opposite logic.
Additional Analysis:
A buy signal is given when the market item reaches a new
45 bar high and Accumulation Distribution has not reached
a new 45 bar high. A sell signal is given when the market
item has made a new 45 bar low and Accumulation
Distribution has not made a new 45 bar low. Some traders
looking for a shorter term indicator may want to plot
Accumulation Distribution against an average of itself and
use the crossovers to signal trades.
Additional References:
Williams, Larry. Secret of Selecting Stocks. Windsor
Books. New York. 1986
Technical Analysis Studies Available to you
are:
You can adjust parameters of each indicator
to suit you.
|
