Accumulation/Distribution (AD)

The Accumulation/Distribution (AD) study attempts to quantify the amount of volume flowing into or out of an instrument by identifying the position of the close of the period in relation to that period’s high/low range. The volume for the period is then allocated accordingly to a running continuous total.

Formula

AD = cumulative ((((Close – Low) – (High – Close)) / (High – Low)) * Volume))

Example

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