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AD

Type: ad • Category: indicators

Description​

Chaikin A/D Line

Parameters​

NameTypeDescriptionRequiredDefault
dataExpstringdata with pricesno
highstringselect the column with highest pricesno
lowstringselect the column with lowest pricesno
closestringselect the column with closing pricesno
volumestringselect the column with volumeno

Help​

AD (Chaikin A/D Line) Indicator Worker

Description​

The AD (Chaikin A/D Line) indicator worker is a financial analysis tool used to gauge the money flow into or out of a security. It is based on the idea that the more volume that accompanies a move, the more significant the move is.

What does this worker do?​

The AD indicator worker calculates the Chaikin A/D Line, which is a cumulative indicator that adds the Money Flow Volume to a running total. The worker takes in data with prices and volume, and outputs the A/D Line values.

Parameters​

The AD indicator worker requires the following parameters:

  • dataExp: data with prices
  • high: select the column with highest prices
  • low: select the column with lowest prices
  • close: select the column with closing prices
  • volume: select the column with volume

How to Interpret the Results​

The A/D Line can be interpreted in the following ways:

  • A rising A/D Line indicates that the security is experiencing positive money flow, which can be a sign of buying pressure and potential upward price movement.
  • A falling A/D Line indicates that the security is experiencing negative money flow, which can be a sign of selling pressure and potential downward price movement.
  • A divergence between the A/D Line and the price action can be a sign of a potential trend reversal.

Additional Knowledge​

The Chaikin A/D Line was developed by Marc Chaikin, a well-known technical analyst. The indicator is based on the concept of Money Flow, which takes into account both the price and volume of a security. The A/D Line is often used in conjunction with other technical indicators to confirm trading signals.

Usage Examples​

For a visual guide on how to use the AD indicator worker, please refer to the following GIFs:

Full GIF​

[![Full GIF](https://pub-6c7cc7f707d94ca98153d59a039b9a3d.r2.dev/indicator_full.gif)](https://pub-6c7cc7f707d94ca98153d59a039b9a3d.r2.dev/indicator_full.gif)

Short GIF​

[![Short GIF](https://pub-6c7cc7f707d94ca98153d59a039b9a3d.r2.dev/indicator_short.gif)](https://pub-6c7cc7f707d94ca98153d59a039b9a3d.r2.dev/indicator_short.gif)