TC2000.com• Download software • Tutorial videos • Subscription & data-feed pricing • Class schedule
TC2000Brokerage.com• New account application • Trading resources • Margin rates • Stock & option commissions
Worden Discussion Forum
Customer Training & Support
Ask a Trainer - TC2000 version 12/18
You were a great help last week with VOLAC, now I'm hoping you can help me with Larry Williams' OBV. I dd check the archive but could find no reference to it
It's another cumulative indicator which takes each day's ((close - yesterday's close)/(high-low) - volume and adds it to a cumulative total.
Ref: The Hedge Fund Edge, page 275 by Mark Boucher
Are you sure that's the fomula?
If so, you can add a Custom PCF Cumulative Indicator to the chart and edit it to use the following settings.
- Period: 1
- Average Type: Doesn't matter (because the Period is 1).
- Up Condition: C > C - 1
- Down Condition: C < C - 1
- Value to Add/Subtract: (C - C1) / (H - L) - V
That said, I suspect the Value to Add/Subtract should be something more like the following (but I haven't found a William's OBV using internet searches).
(C - C1) / (H - L) * V
How to add an indicator to a chart template
How to edit an Indicator
You are correct, kind sir. The -V looks useless, the *V looks right.