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Industrial production index (IP) is an indicator characterizing industrial output in mining, manufacturing, energy-savings and utilities. The index reflects growth or decline in manufacture and services in the USA without account of construction segment. It is also known as “net output” and is expressed as percentage. Industrial production takes about 40% of the US economy and is closely related with such figure as GDP. Advantage of index is that it only accounts for industrial output rather than its monetary value. It makes the index one of major indicators of national economy condition and an important fundamental influencing currency rate. Growth of indicator means consolidation of the economy and contributes to upsurge of the American currency.
Popular article: Relative Vigor Index
Relative Vigor Index (RVI) – is an oscillator used for technical analysis in Forex. An author of this index is John Enlers known for application of cycles in technical analysis of the market. The first time RVI indicator was mentioned in Stocks and Commodities magazine in 2002. In this article author says that during growth close price of bar is higher than open price and the opposite tendency was observed by him in descending market. RVI index is built on the basis of this statement.
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