DM/V Ratio Indicator
This ratio will give you a quantified view of the relationship between directional
movement and volatility for a market. It is also useful for observing how
these two factors might be evolving for a particular market pair. The equation
for calculating the DM/V ratio is as follows:
This ratio will give you a quantified view of the relationship between directional
movement and volatility for a market. It is also useful for observing how
these two factors might be evolving for a particular market pair. The equation
for calculating the DM/V ratio is as follows:
DMV = 100 ·Dm____________
V
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