136 Price Volume Trend (pvt)

The Price-Volume Trend utilizes the Rate of Change with volume to and it’s cumulative values to determine money flow. Similar to OBV, but the amount of volume added or subtracted to/from the PVT total is dependent on the amount of the current day’s price rising or falling compared to the previous day’s close.

Calculated as: PVT = [((CurrentClose - PreviousClose) / PreviousClose) x Volume] + PreviousPVT

Useful to confirm, or indicate trend reversal depending on level of divergence.:

Figure 13.29: Price Volume Trend