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many technical indicators are used by traders. Here we discuss The Breadth Thrust indicator

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The Breadth Thrust indicator

The Breadth Thrust indicator is another momentum indicator. Developed by Martin Zweig, you calculate it by dividing the quantity of advancing issues by the quantity of advancing plus declining issues, and creating a 10 day moving average of the resulting percentage. Having calculated it, you use it if, during any 10 day period, the indicator rises from below 40% to above 61.5%. This is supposed to indicate that the market has moved from an oversold condition to one of strength (but is still not overbought). It fires rarely (the inventor says only 14 times in the last 50 years), and often seems to herald the start of a new bull market. Take a 10 day moving average of (Advancing Issues) / (Advancing + Declining Issues).

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Using The Breadth Thrust indicator when day trading, plus swing trading strategies using The Breadth Thrust indicator and investing based on the The Breadth Thrust indicator indicator