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welcome back to another trading video from netpix and ive had some questions about volume based indicators so it would be a good time to start talking about the accumulation distribution line and thats actually an indicator by a gentleman named mark chaiken and it does use volume as part of its calculation and its going to help you determine the price trends and youve all heard the terms accumulation and distribution and often theyre just used to describe the up and down movements in price so looking at this chart here accumulation is when traders are buying stocks at a rate thats not going to drive the price up too much because if they buy too rapidly they start buying at higher prices the markup is when more buyers are stepping in when they start to see that upwards movement in the stock price and thats generally when most traders start to enter trades distribution up there thats when those people that bought early they begin to unload their positions okay theyre selling an
