advance-decline (A-D) ratio

Definition

Ratio that gives a rough indication of the direction of a stockmarket. It compares the number of stocks trading above their previous closing price with those trading below. When drawn on a chart, the steepness of A-D line shows if a strong bull or bear market is under way. See also Arms index. Formula: Number of stocks advancing in price ÷ Number of stocks declining in price.


advance-decline (A-D) ratio is...

Nearby Terms

Search volume for advance-decline (A-D) ratio

Browse by Letter: # 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