What is the Buying Power Index?

13 April 2023
The Buying Power Index is an intermediate and longer-term measurement of the effect buyers are producing (Demand), as evidenced by the GAINS and UPSIDE VOLUME registered by advancing stocks. This is a multiple time period index, which in its final construction, not only takes into account the number of stocks registering advances, but includes and evaluates such upside action both in terms of actual POINTS GAINED and related UPSIDE VOLUME. The average time period for the several components making up this index is approximately 50 trading days.