   
|
|
Advance/decline Line
|
| FYI - For 2011, Dow up, Dogs of the Dow up more (double digits) |
| |
The advance/decline line is a technical indicator used to graph the difference between the number of advancing stocks and the number of declining stocks for a given day. The advance/decline line goes up if this difference is positive. The advance/decline line goes down if the difference is negative. Therefore, a rising advance/decline line indicates a bullish market, while a declining advance/decline line indicates a bearish market. Typically, the advance/decline line is used to evaluate short-term trends as opposed to trends over several years. Many traders use the advance/decline line to validate trends in the market and their likelihood of continuing. If markets are up but the advance/decline line is falling, traders view this as a signal that the market may soon reverse direction. Also, if markets are up and the advance/decline line is rising, this is an indication of a continuing robust market.
Rate this advance/decline line definition...
|
|
Where is the market headed? The answer may surprise you. Find out
right now with the exclusive & Barron's recommended charts of Chart of the Day.
|
Popular Terms: inflation, FICO score, EBITDA, labor relations, option premium, 1035 exchange, 144a, deferred revenue, limit order, balance sheet, ex-dividend date, dividends payable, command economy, current ratio, phantom income, required rate of return, average price per share, real GDP, FTSE, stock split, deferred tax, diluted share, margin rate, class C shares, debt service coverage, minority interest, open position, annual return, ex-dividend, 401a, risk management, reverse mortgage, covered put, in escrow, LIBOR, implied volatility, wholly-owned subsidiary, irrevocable trust, quality assurance, stock market close, liquidity ratio, cancelled check, 1031 exchange, APR, Key Rate Duration, Zero Cost Collar, per diem, retained earnings, VIX
|
|
| |