Abbreviation: Volume Advancing/Volume Declining Ratio: Avg
Category: Market Volume Advance / Decline
Input Parameters:
| Name | Range | Default |
| Volume of Advancing Issues | ||
| Volume of Declining Issues | ||
| Avg Periods | Int >= 1 | 5 |
Calculation:
Avg(X, Avg Periods)
where
X = Volume Advancing/Volume Declining Ratio(Volume of Adv Issues, Volume of Dec Issues)
Volume Advancing/Volume Declining Ratio represents Volume Advancing/Volume Declining Ratio (Upside/Downside Ratio)
Avg represents Simple Moving Average
Discussion:
This indicator attempts to smooth the Volume Advancing/Volume Declining Ratio indicator by calculating its moving average. Since it uses a simple moving average (which gives equal importance to all the periods within the moving average’s time frame), this method of smoothing may cause more of a lag time than the exponential variant.