Price Volume Trend¶
Indicators · Volume
Price Volume Trend — cumulative volume weighted by percentage price change.
Price Volume Trend (PVT) is a cumulative volume line — a close relative of OBV — but with a smarter weighting. Where OBV adds the whole bar's volume on any up-close, PVT adds volume scaled by the percentage size of the price move. A 2% up-day adds far more to the line than a 0.1% up-day. That proportional weighting makes PVT a more nuanced read of how conviction and price change combine, and it tends to track accumulation/distribution more faithfully than OBV.
How it works¶
Each bar the block adds volume × percentage price change to a running cumulative total — so big moves on big volume push the line hard, small moves barely register, and the direction of the change sets the sign. The result is the cumulative PVT line in a sub-pane. A Signal line (EMA of PVT over Signal EMA, 14) provides a crossover trigger, with Bull ↑ / Bear ↓ on the cross. As with OBV, the absolute level is arbitrary — read direction and divergence.
When to use it¶
Use PVT to confirm trends and spot divergence, much as you would OBV, but with sensitivity to the size of moves. A rising PVT confirms buying conviction is backing a price rise; PVT/price divergence warns a move isn't supported by proportional volume. The signal-line cross offers a smoother momentum read on the flow. It's a refinement of OBV — prefer it when you want the magnitude of price moves to matter, not just their direction. On forex it uses tick volume.
Example¶
Trend confirmation with magnitude: wire bars into Price Volume Trend and require PVT rising (or above its signal via a Crosses Above) alongside your long entry through an And gate into a Buy Signal. Watch for PVT/price divergence in the Tester.
Tips & gotchas¶
- OBV weighted by move size — big moves count more; a refinement of OBV.
- Direction and divergence only — the absolute level is arbitrary.
- Signal cross gives a smoother flow-momentum read.
- Tick volume on forex — a proxy for real volume.
Related blocks¶
Inputs¶
| Socket | Type | What to wire in |
|---|---|---|
| Bars | bars |
Price bars |
Outputs¶
| Output | Type | Plots as | Description |
|---|---|---|---|
| PVT | series |
Line · sub-pane | Price volume trend (cumulative) |
| Signal | series |
Line · sub-pane | EMA of PVT |
| Bull ↑ | signal |
Signal arrows | PVT crosses above its signal |
| Bear ↓ | signal |
Signal arrows | PVT crosses below its signal |
Parameters¶
| Parameter | Type | Default | What it does |
|---|---|---|---|
| Signal EMA | number · 1–200 | 14 |
|
| PVT color | colour | #5c6bc0 |
|
| Signal color | colour | #ffa726 |
Reference auto-generated from the block catalog · category Indicators.