|As on: 24/05/2017 13:25:00|
The TRIN, the TRader's INdex or Arms index, is a short-term technical analysis stock market trading indicator. The name is short for TRading INdex. The Arms Index is a volatile breadth indicator that can be used to generate overbought and oversold signals. It is preferable to trade in the direction of the underlying trend (major trend can be derived from the slope of 100 or 200 day moving averages). Short-term traders can use the unadulterated Arms Index to generate short-term signals. A 10-day SMA can be applied to generate more medium-term signals. The Arms Index is just one indicator and chartists should employ other ascpects of technical analysis to confirm or refute signals generated.