FTB-C000530 / Evidence concept

OBV Divergence Scope

OBV divergence scope is the limited comparison between price path and OBV path.

Advanced 1 linked topicEvidence-reviewed

Definitions

In plain terms

A divergence is an observation that the two paths are not making matching extremes or trends.

Technical

The glossary records divergence as a descriptive relationship; it does not promote it to a validated forecast or trading rule.

Scope

Divergence language must not be presented as a guaranteed reversal signal.

Examples

  • A reviewer computes OBV Divergence Scope from a small OHLCV fixture and checks readiness, units, and edge cases before publication.

Common misconceptions

  • Divergence language must not be presented as a guaranteed reversal signal.

Concept relationships

Prerequisites

Related

Where this concept is used

Evidence and governance

  1. On-Balance Volume (OBV) TradingView · official platform documentation

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: Does not establish predictive power, trading profitability, or a universal divergence rule.

  2. Volume indicators function group TA-Lib · first party technical publication

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: Library compatibility does not by itself prove a project's seed, warm-up, or missing-data policy.

  3. Consolidated Tape Investor.gov · official standard

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: This glossary does not infer buyer/seller intent or normalize all venue and reporting differences.

  4. Closing Price Investor.gov · official standard

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: A close is not automatically an adjusted close and may vary by market session convention.

  5. What Is Volume? CME Group · official exchange

    Supports: preferred label, short definition, technical definition, variant distinction

    Limits: Futures contract conventions do not define every equity or digital-asset volume feed.

Reviewed by
fintech-builder-batch-010
Last reviewed
2026-08-01
Next review
2027-08-01
Record status
evidence reviewed

This record is evidence-reviewed and readable, but not yet promoted to published — it is served noindex,follow and excluded from the sitemap.