Adjusted OBV with Cross & DivergenceOBV is a technical indicator used to observe changes in volume. Traditional OBV calculate all historical volume, it makes the OBV being usually higher than 0.
What I think of this is that calculating volume for a period of time is more useful than all historical volume.
So I made some adjustments to the OBV Period, only calculating the volume from the past 120 days.
Why It's 120 days?
Because I backtested COINBASE:BTCUSDT, it has better performance.
In addition, I also set up MA12 and MA30, which is the MA OF OBV. What it does is to provide entry signal for trading.
This is what you can use this indicator(see Chart):
1. OBV Divergence(Top divergence = bearish, Bottom divergence = bullish)
2. Observe the OBV is in Uptrend or Downtrend(Uptrend = bullish, Downtrend = bearish)
3. The crossing of two MA12 and MA30 can be used as an entry signal(Golden cross = bullish, Death Cross = bearish)
4. Use Deduction ball to see OBV goes up or down in the next few candles
How to know if OBV has Divergence?
Price Higher + Lower OBV = Top divergence
Price Lower + Higher OBV = Bottom divergence
How to see if OBV is in Uptrend or Downtrend?
If OBV is above MA12/MA30, it's in uptrend, if OBV is below MA12/MA30, it's downtrend.(See chart)
What is Deduction ball?
It's used to compare to the volume 120 days ago, this can help to see if OBV goes up or down in the next few candle.
Why use MA12/MA30 with 120 days volume?
Because I backtested COINBASE: BTCUSDT, and found that it has higher winning rate.
中文說明(Chinese Explanation):
OBV是用來觀察成交量變化的技術指標。 傳統的OBV計算所有的歷史成交量,使得OBV經常為正。
我的想法是,計算一段時間的交易量比所有歷史交易量更有用。
所以我對 OBV 時間長短做了一些調整,只計算過去 120 天的交易量。
為什麼是120天?
因為我回測了COINBASE:BTCUSDT,它的性能更好。
另外,我還設置了MA12和MA30,也就是OBV的簡單移動平均。 它的作用是為交易提供入場信號。
這是您可以使用該指標的內容(見圖表):
1. OBV背離(頂部背離=看跌,底部背離=看漲)
2.觀察OBV處於上升趨勢還是下降趨勢(上升趨勢=看漲,下降趨勢=看跌)
3.兩條MA12和MA30的交叉可以作為入場信號(黃金交叉=看漲,死亡交叉=看跌)
4. 使用抵扣球查看 OBV 在接下來的幾根蠟燭中會上升還是下降
如何知道OBV是否有背離?
價格更高 + 更低的 OBV = 頂部背離
價格更低 + 更高 OBV = 底部背離
如何查看 OBV 處於上升趨勢還是下降趨勢?
如果 OBV 高於 MA12/MA30,則處於上升趨勢,如果 OBV 低於 MA12/MA30,則處於下降趨勢。(見圖表)
什麼是抵扣球?
它用於與 120 天前的成交量進行比較,這有助於查看 OBV 在接下來的幾根蠟燭中是上漲還是下跌。
為什麼使用MA12/MA30 與120長度的成交量?
因為我回測了COINBASE: BTCUSDT,發現它的勝率更高。