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Re: Porch Honkey post# 54672

Tuesday, 07/27/2021 12:11:58 PM

Tuesday, July 27, 2021 12:11:58 PM

Post# of 62888
The A/D line is used to help assess price trends and potentially spot forthcoming reversals. If a security’s price is in a downtrend while the A/D line is in an uptrend, then the indicator shows there may be buying pressure and the security’s price may reverse to the upside. Conversely, if a security’s price is in an uptrend while the A/D line is in a downtrend, then the indicator shows there may be selling pressure, or higher distribution. This warns that the price may be due for a decline.


https://www.investopedia.com/terms/a/accumulationdistribution.asp

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