Skipper86

AAPL - On Balance Volume has negatively diverged from price

Short
NASDAQ:AAPL   Apple Inc
As shown by the chart, price is way up in 2020 and on balance volume is way down which suggests the price action doesn't have shareholders behind it to justify it from a volume standpoint. Basically, suckers are bidding it way up while smart money that brings real volume is watching from the sidelines, if I'm not mistaken. I've compared OBV on other stocks and indexes for this same crash period and haven't noted any such extreme divergences, for the most part. I did note that Lowe's (LOW) price has not kept up with OBV, which is opposite the AAPL situation. I understand the calculation of OBV and what the line is intended to represent, however, I don't have a whole lot of experience putting it into practice or a good grasp on the shortcomings of it so if anyone who does can shed some light on this AAPL divergence, it would be greatly appreciated.

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