PVT — Price Volume Trend

Overview

Price Volume Trend is similar to OBV but adjusts each period's volume by the percentage change in price, giving proportionally more weight to large moves and less to small ones. PVT provides a more nuanced view of accumulation and distribution in stocks and crypto. Pair PVT with trend-following strategies and explore our indicator guide library for complementary tools.

How It Works

PVT = previous PVT + (Volume × percentage price change). Unlike OBV which adds or subtracts the full volume, PVT scales volume by the proportional price move. A rising PVT line indicates positive volume-price momentum; a falling line indicates negative momentum.

Key Signals

• Rising PVT with rising price confirms a healthy accumulation trend.
• Falling PVT with rising price = bearish divergence (distribution under the surface).
• PVT breaking a trendline often precedes a price trendline break.

Common Mistakes

• Comparing PVT absolute values across different securities — only the trend matters.
• Using PVT on assets with unreliable volume data.
• Not combining PVT with price-level analysis like support and resistance.