Grace,
Nice Chart, but I don't see how one could trade off it...?
I don't aggressively trade stocks, just index futures.
"Money Flow" is a stubborn problem for Index Futures Traders.
I'm by no means an expert on volume, but daily volume for the indexes is masked by various filters within feeds. It generally comes in increments of one day; or for the Dow, increments of one hour. It does not come in increments of volume. To get good Volume feeds requires being connected to the largest and best brokerage and commodity houses, it's very hard to gather volume on indexes and commodities and currencies. Index data comes across differently then individual stocks. Also, the popular idea that "Real Moves" are accompanied by high volume is misleading, and at best confusing, for trading in and out of futures.
Then add to the mix on volume one has to apply Open Interest, Commitment of Traders, etc. It's been a problem many very brilliant traders have tried to work with including Granville, Herrick, Arms and others.
Anyway, I've chosen to follow time and price more then Money Flow or Volume.
But I might be missing something.
Chip |
