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IndicatorsA

Accumulation/Distribution

A volume-based indicator measuring the cumulative flow of money into and out of a security. It helps confirm price trends or warn of potential reversals by comparing where price closes relative to its range against volume. When the A/D line diverges from price, it can signal that the current trend is weakening and a reversal may be approaching.

Example

The Accumulation/Distribution line was falling even as price made new highs, signaling a bearish divergence.