It’s a technical oscillator that measures the momentum of rallies and declines. It was developed by Alexander Elder. It makes use of the:
- Difference between the close of the current price and that of the previous session.
- Extent of the difference.
- Volume of the current session.
A positive difference shows that the bulls are in control. A negative difference shows that the bears are in control.
Force Index = Volume Today x (Close Today – Close Yesterday)
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