Swing Index

This momentum indicator is used primarily as a component of the Accumulative Swing Index.



Welles Wilder developed the Swing Index to provide a line "which cuts through the maze of high, low and close prices and indicates the real strength and direction of the market." (For a detailed description refer to Wilder's book New Concepts in Technical Trading Systems.)

The Swing Index is used primarily as a basis for Wilder's Accumulative Swing Index (ASI) indicator.

Mr. Wilder summarizes the significance of the Swing Index as follows:



The Swing Index alone doesn't provide much in the way of signals. It should be used in conjunction with the Accumulative Swing Index.

See the Accumulative Swing Index.