Live Advance-Decline Chart
Interpretation The AD Line is a good indicator of overall market strength; and many feel it is more revealing than popular indices such as BSE Sensex, NSE Nifty, etc. This is because the AD line is usually calculated on all the stocks listed in the markets rather than just 30 or 50 stocks that make up the major indices. When the AD line is rising, more stocks are advancing than declining and the A/D Line moves up. When the AD line is falling, more stocks are declining than advancing and the A/D Line moves down. Those of you who may be interested can view that attached chart of NSE 50 with the AD Line overlaid. You can see that although the NSE 50 continuous to make new highs the AD Line (Red Line) is declining.
