TRIN (Arms index)

Compares the ratio of advancing to declining stocks with the ratio of their volume.

Formula

TRIN = (Advancers ÷ Decliners) ÷ (Up volume ÷ Down volume)

How to read it

Below 1: volume is concentrated in rising stocks (buying pressure). Above 1: in falling ones. Readings far from 1 mark lopsided sessions.

How to use it

Spots lopsided sessions; extreme readings often come near short-term turns.

In Kereon

Market. The same formula over the desk's own list of liquid stocks rather than every NYSE issue, so its direction and turns carry meaning but its level is not the exchange's print.

Also called: trin, trin (arms), arms index.

Related terms

The whole glossary · Investing tools