Absolute Breadth Index – ABI
What is Absolute Breadth Index?Copy link to section
The term Absolute Breadth Index, abbreviated as ABI, is an indicator used to determine volatility in the market without regard to price direction. It is calculated by taking the absolute value of the difference between the number of bullish sessions and the number of bearish sessions. Usually, high numbers suggest that volatility is on the rise which would lead to wide swings in the asset price.
This tool is classified as a breadth indicator because it is created with net up/down values only.
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