OBV (On-Balance Volume)

What is OBV?

On-Balance Volume adds volume on up-days and subtracts on down-days, creating a cumulative total. Rising OBV confirms uptrend strength, falling OBV confirms downtrend strength.

Visual Encoding

• X-Axis: Time (candle intervals)
• Y-Axis: OBV value (auto-scaled)
• Line: Cumulative OBV

Interpretation

• Rising OBV = buying pressure accumulating
• Falling OBV = selling pressure increasing
• OBV divergence from price = potential reversal
• Data refreshes periodically — not real-time

Trading Signals

• OBV rising with price = volume confirms the trend
• OBV flat while price rises = bearish divergence, weak rally
• OBV breaking out before price = early accumulation

Price Overlay

• Close Price: Daily closing price (right Y-axis)
• OBV rising + price flat = accumulation (bullish)
• OBV falling + price flat = distribution (bearish)
• OBV confirming price = healthy trend