Investor Glossary-arms indexInvestor Glossary-arms indexInvestor Glossary-arms indexInvestor Glossary-arms indexInsightful stock market charts - Click here
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Arms Index

The HTML to link to this page

Arms Index is a mathematic market meter designed to communicate the relationship between upward and downward moving stock prices and trading volumes. Arms Index is a technical analysis indicator. Created in the late sixties by Richard Arms, the Arms Index was intended to calculate the relationship between advancing and declining averages. Namely, the Arms Index illustrates the interaction of advancing and declining issues with advances and declines of absolute volumes. Hence, the Arms Index measure can be arrived at by dividing the ratio of advance/decline issues by the ratio of total upside to downside volume. A low Arms Index reading (i.e. below .95) is considered bearish while a high Arms Index reading (i.e. above 1.65) is considered bullish. Arms Index is a short-term market figure also known as TRIN (TRading INdex).

Rate this Arms Index definition...

Learn about investing with the Investor Glossary Term of the Day

Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.

Popular Terms: option premium, command economy, retained earnings, deferred revenue, risk management, 401a, dividends payable, 1031 exchange, Zero Cost Collar, annual return, covered put, per diem, 144a, APR, liquidity ratio, FTSE, current ratio, average price per share, reverse mortgage, real GDP, limit order, stock market close, stock split, wholly-owned subsidiary, deferred tax, in escrow, labor relations, required rate of return, debt service coverage, FICO score, implied volatility, EBITDA, quality assurance, cancelled check, minority interest, margin rate, balance sheet, ex-dividend, class C shares, irrevocable trust, open position, 1035 exchange, phantom income, ex-dividend date, inflation, diluted share, VIX, Key Rate Duration, LIBOR

Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2015 Investor Glossary - All rights reserved - Terms of Use