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<p id="isPasted">The On-Balance Volume (OBV) indicator, introduced by Joe Granville in 1963, is a powerful technical analysis tool used to measure buying and selling pressure based on trading volume and price.</p><p>By aggregating trading volume—adding it on positive days and subtracting it on negative days—OBV creates a cumulative line that reflects market volume pressure, making it valuable for confirming trends, identifying entry and exit points, and forecasting potential price movements.</p><p>Divergences between price and OBV often provide significant signals. A bearish divergence occurs when the price forms higher highs while the OBV line forms lower highs. This discrepancy indicates that upward …</p>