Abbreviation: OBV: Raw
Category: Volume
Input Parameters:
| Name | Range | Default |
| Closing Price | Close | |
| Volume | Volume |
Calculation:
Close – Previous Close
————————– * Volume
Abs(Close – Previous Close)
Abs represents Absolute Value
Discussion:
Note that the change in the close divided by the absolute value of the change in the close simply evaluates to a 1 for positive change, a -1 for negative change, and a 0 for no change. Thus, the On Balance Volume – Raw indicator simply returns Volume for increasing close periods, Volume for decreasing close periods, and 0 for equal close periods. Use of On Balance Volume – Sum will provide a measurement of volume on increasing close periods minus volume on decreasing close days.