What is this indicator?
Adds up volume on up days and subtracts it on down days to reveal the cumulative flow of capital. A divergence between OBV and price often appears before a major trend change.
How to read the chart
A rise happening alongside price movement confirms that move's validity; a divergence between volume and price is often a sign of a weakening trend.
Practical tip
Always check volume alongside price movement; volume on its own, without regard to the price trend, isn't a reliable signal.