short-term trading index

Short-Term Trading Index

In technical analysis, a ratio indicating whether to buy or sell securities in the short term. It is calculated thusly:

Short-term trading index = (Volume of advancing securities - Volume of declining securities) / (Number of advancing securities - Number of declining securities)

A ratio above 1.3 is considered a buy signal, while a ratio below 0.7 is seen as a sell signal.

short-term trading index

A technical trading indicator that is calculated by dividing the volume of advancing stocks relative to the volume of declining stocks by the number of advancing stocks relative to the number of declining stocks. An index value above 1.30 is considered a buy signal, while a value below 0.70 is a sell signal.
References in periodicals archive ?
His Equivolume charting system is now part of the most popular stock and futures software, and his Arms Index -- also known as the Short-Term Trading Index or TRIN -- has become one of the most important technical tools on Wall Street.