Investments, 11th Edition (exclude Access Card)
Investments, 11th Edition (exclude Access Card)
11th Edition
ISBN: 9781260201543
Author: Zvi Bodie Professor; Alex Kane; Alan J. Marcus Professor
Publisher: McGraw-Hill Education
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Chapter 12, Problem 13PS
Summary Introduction

To calculate:

The trin ratio for NASDAQ by using the data from The Wall Street Journal in Figure9.7

Introduction:

For determine the core competency of the market rise and fall, Trin ratio is used. A market is to be considered as bullish if the volume of trading was increasing and is to be considered as bearish if the volume of trading was decreasing. As per the Trin ratio, if the ratio is less than1then the market is considered as bullish and vice- versa.

It is calculated by using the following formula:

  Trin ratio= Volume declining /Number decliningVolume advancing/Number advancing

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