Description

• This indicator was developed by Martin Zweig
• This is computed by dividing the quantity of advancing issues by the quantity of advancing plus declining issues, and creating a ten day moving average of the resulting percentage by default

Interpretation

• Stock is said to be overbought, when the indicator moves above 40%
• Stock is said to be oversold, when the indicator moves below 40%

Default Parameters Used/Inputs

• EMA Bars

Returns/Output

Stock overbought and oversold conditions can be viewed

Formula

BT[X]=EMA((Adv[X]/(Sum(Adv[X],
Dec[X]))),R)
where BT indicates Breadth Thrust
R indicates the range of EMA bars