Vice versa, negative values indicate distribution, thus being a bearish signal.
Values above the zero level are considered bullish and indicate long-term accumulation. The final result is exponentially smoothed ratio of cumulative sum of 'directed' volume to average volume over last 50 bars. After that, volume for each bar is taken into account with a sign: positive or negative, based on the mentioned comparison. However, instead of comparing two Close prices of adjacent bars, it compares change in typical price with a so-called 'cut off' value based on standard deviation. The Volume Flow Indicator is a long-term trend following study which uses the same principle as On Balance Volume.
