The Typical Price indicator provides a simple, single-line plot of the day's average price. Some investors use th Typical Price rather than the closing price when creating moving average penetration systems.
The Typical Price is a building block of the Money Flow Index.
The Typical Price indicator is calculated by adding the high, low and closing prices together, and then dividing by three. The result is the average, or typical price.
The Typical Price is sometimes called "Pivot Point".
This indicator is indirectly validatet by I:CCI.