Tweet
"Money Flow" indicator construction
Hi -
I want to use GET to chart the classic Chaikin Money Flow (CMF) indicator. GET has an indicator called "Money Flow", but the way it is presented on the screen makes me think it's not the CMF indicator, and the help screen is not helpful in determining if in fact this is true. The difference between true CMF and GET's "Money Flow" is in part that "Money Flow" is centered around the "50" mark, whereas CMF is always centered around zero. Can someone knowledgeable tell me what the methodology behind GET's "Money Flow" is so that I can determine whether it is different from CMF and make the proper mental adjustment when reading "Money Flow" in GET? As a side note, it would really help users of GET if there were better formulaic descriptions of the various indicators/studies in the help screens. Just a thought.
For reference, the formula for CMF is typically computed for one day by the following calculation:
[(Close-Low)-(High-Close)/(High-Low)]*Volume.
That value is then calculated for 21 consecutive days, the sum of each day's value being added together, and then divided by the total volume for that 21-day period.
I want to use GET to chart the classic Chaikin Money Flow (CMF) indicator. GET has an indicator called "Money Flow", but the way it is presented on the screen makes me think it's not the CMF indicator, and the help screen is not helpful in determining if in fact this is true. The difference between true CMF and GET's "Money Flow" is in part that "Money Flow" is centered around the "50" mark, whereas CMF is always centered around zero. Can someone knowledgeable tell me what the methodology behind GET's "Money Flow" is so that I can determine whether it is different from CMF and make the proper mental adjustment when reading "Money Flow" in GET? As a side note, it would really help users of GET if there were better formulaic descriptions of the various indicators/studies in the help screens. Just a thought.
For reference, the formula for CMF is typically computed for one day by the following calculation:
[(Close-Low)-(High-Close)/(High-Low)]*Volume.
That value is then calculated for 21 consecutive days, the sum of each day's value being added together, and then divided by the total volume for that 21-day period.
Comment