Compact mode
Rate Of Change (ROC) vs Money Flow Index (MFI) vs On-Balance Volume (OBV)
Table of content
General Information Comparison
Indicator Type 📊
The category or classification of the trading indicator based on its primary function and analysis method.Rate of Change (ROC)Money Flow Index (MFI)- VolumeMoney Flow Index (MFI) is a Volume type indicator. Indicators that analyze trading volume to confirm price movements
On-Balance Volume (OBV)- VolumeOn-Balance Volume (OBV) is a Volume type indicator. Indicators that analyze trading volume to confirm price movements
Asset Class 💰
Specifies the financial instruments for which the indicator is most commonly usedFor all*Rate of Change (ROC)- ForexThe asset classes Rate of Change (ROC) is typically used for are Forex. Indicators optimized for currency pair trading in the foreign exchange market. Click to see all.
- CommoditiesThe asset classes Rate of Change (ROC) is typically used for are Commodities. Trading indicators optimized for commodity markets like oil, gold, and agricultural products. Click to see all.
- CryptocurrenciesThe asset classes Rate of Change (ROC) is typically used for are Cryptocurrencies. Indicators tailored for the volatile and 24/7 nature of cryptocurrency trading. Click to see all.
Money Flow Index (MFI)On-Balance Volume (OBV)Known for 💭
The unique selling point or distinguishing feature of the trading indicatorRate of Change (ROC)- Speed Of Price ChangesRate of Change (ROC) is known for Speed Of Price Changes.
Money Flow Index (MFI)- Volume And Price MovementsMoney Flow Index (MFI) is known for Volume And Price Movements.
On-Balance Volume (OBV)- Volume Precedes Price MovementOn-Balance Volume (OBV) is known for Volume Precedes Price Movement.
Made In 🌍
The country or origin of the trading indicatorRate of Change (ROC)- UnknownRate of Change (ROC) was developed in Unknown. Indicators with undisclosed country of origin, focusing on performance
Money Flow Index (MFI)On-Balance Volume (OBV)- 1963On-Balance Volume (OBV) was developed in 1963. Trading indicators specifically created in 1963
Characteristics Comparison
Lagging or Leading 🏁
Indicates whether the trading indicator is a lagging or leading type, reflecting its predictive nature.For all*Complexity Level 🧑
Indicates the level of expertise required to effectively use the indicatorRate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)Popularity 🏆
Indicates how widely used and recognized the indicator is in the trading communityFor all*- MediumIndicators with balanced adoption and potential effectiveness
Facts Comparison
Interesting Fact 💡
An intriguing or lesser-known fact about the trading indicatorRate of Change (ROC)- One of the oldest momentum indicators still in use today
Money Flow Index (MFI)- Often called the volume-weighted RSI
On-Balance Volume (OBV)- Developed by Joe Granville
Sarcastic Fact 😉
A humorous or ironic observation about the trading indicatorRate of Change (ROC)- Jokingly called the 'market speedometer' by some traders
Money Flow Index (MFI)- It's like a financial breathalyzer - measures how intoxicated buyers are
On-Balance Volume (OBV)- It's the gossip column of indicators - always trying to predict the next big move
Application Comparison
Timeframe 🕑
The time intervals or periods for which the trading indicator is most effective or commonly used.Rate of Change (ROC)- AnyRate of Change (ROC) is most effective for Any timeframes. Flexible indicators adaptable to various trading timeframes, offering versatility in analysis.
Money Flow Index (MFI)- DailyMoney Flow Index (MFI) is most effective for Daily timeframes. Indicators optimized for daily chart analysis, suitable for swing and position traders.
- WeeklyMoney Flow Index (MFI) is most effective for Weekly timeframes. Indicators optimized for weekly chart analysis, balancing short-term noise and long-term trends.
On-Balance Volume (OBV)- DailyOn-Balance Volume (OBV) is most effective for Daily timeframes. Indicators optimized for daily chart analysis, suitable for swing and position traders.
Technical Details Comparison
Calculation Method 🧮
The mathematical or analytical approach used to compute the trading indicator's values.Rate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)Signal Generation 📊
Describes the methods by which the indicator produces trading signalsFor all*- DivergencesIndicators that show discrepancies between price and indicator movements, suggesting potential reversals
Rate of Change (ROC)- CrossoversRate of Change (ROC) generates trading signals through Crossovers. Indicators that generate signals when one line crosses another, indicating trend changes
Money Flow Index (MFI)- ThresholdsMoney Flow Index (MFI) generates trading signals through Thresholds. Indicators that generate signals when certain predefined levels or conditions are met
Customization Options 🔧
Lists the parameters that can be adjusted to fine-tune the indicatorFor all*Money Flow Index (MFI)
Usage Comparison
For whom 👥
The target audience or user group for the trading indicatorRate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)Purpose 📈
The primary purpose or application of the trading indicatorRate of Change (ROC)Money Flow Index (MFI)- Volume-Weighted RSIMoney Flow Index (MFI) is primarily used for Volume-Weighted RSI.
On-Balance Volume (OBV)
Evaluation Comparison
Pros 👍
Advantages of using the trading indicatorRate of Change (ROC)- Simple To Understand And UseOffers straightforward analysis, making it accessible for traders of all levels
- Effective For Identifying Overbought/Oversold Conditions
Money Flow Index (MFI)- Incorporates VolumeUses trading volume data to provide deeper market insights
- Useful For Divergence Trading
On-Balance Volume (OBV)- Simple To Calculate
- Confirms Price Trends
Cons 👎
Disadvantages or limitations of the trading indicatorRate of Change (ROC)- Can Produce False Signals In Ranging Markets
- Sensitive To Sudden Price ChangesRefers to indicators that may produce unreliable signals during rapid market movements. Click to see all.
Money Flow Index (MFI)- Can Be Less Effective In Low Volume Environments
On-Balance Volume (OBV)- Can Be Affected By Large Block Trades
Performance Metrics Comparison
Reliability Score 💯
A score indicating the overall reliability of the trading indicatorRate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)Ease of Use Score 💻
A score representing how user-friendly and intuitive the trading indicator isRate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)Versatility Score 🔀
A score indicating the adaptability of the trading indicator across different markets and timeframesRate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)Customization Score 🔧
A score representing the degree of customization available for the trading indicatorRate of Change (ROC)- 6.5The customization score for Rate of Change (ROC) is 6.5 out of 10.
Money Flow Index (MFI)- 7The customization score for Money Flow Index (MFI) is 7 out of 10.
On-Balance Volume (OBV)- 5.5The customization score for On-Balance Volume (OBV) is 5.5 out of 10.
Score ⭐
The overall score of the trading indicator based on various performance metricsRate of Change (ROC)Money Flow Index (MFI)On-Balance Volume (OBV)
Alternatives to Rate of Change (ROC)
Relative Strength Index (RSI)
Known for Momentum Measurement
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is more reliable than Rate of Change (ROC)
Hull Moving Average (HMA)
Known for Reducing Lag In Moving Averages
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is more reliable than Rate of Change (ROC)
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is more customizable than Rate of Change (ROC)
Elder-Ray Index
Known for Combining Trend And Momentum
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is more customizable than Rate of Change (ROC)
Stochastic RSI
Known for Combining Strengths Of Two Popular Indicators
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is more reliable than Rate of Change (ROC)
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is more versatile than Rate of Change (ROC)
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is more customizable than Rate of Change (ROC)
Triple Exponential Average (TRIX)
Known for Filtering Out Market Noise
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is more customizable than Rate of Change (ROC)
Pivot Points
Known for Identifying Potential Reversal Points
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is more versatile than Rate of Change (ROC)
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is rated higher overall than Rate of Change (ROC)