don t confuse the trin index for the share price of trinity capital trin 2
limitations of using the arms index trin the arms index has a few mathematical peculiarities that traders and investors should be aware of when using it since the index emphasizes volume inaccuracies arise when there isn t as much advancing volume in advancing issues as expected this may not be a typical situation but it s a situation that can arise and could potentially make the indicator unreliable here are two examples of instances where problems may occur one way to solve this problem would be to separate the two components of the indicator into issues and volume instead of using them in the same equation for instance advancing issues divided by declining issues could show one trend while advancing volume over declining volume could show a separate trend these ratios are called the advance decline ratio and upside downside ratio respectively both of these could be compared to tell the market s true story 