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General TradingA

Accumulative Swing Index (ASI)

A technical indicator that uses open, high, low, and close prices to create a cumulative trendline. It helps confirm price breakouts by comparing bar-to-bar price action to filter out noise. The ASI is particularly useful for validating whether a trendline break on the price chart is genuine or likely to be a false signal.

Example

The Accumulative Swing Index confirmed the breakout by crossing above its prior high, giving traders added confidence in the move.