ERTrack.com uses propriety method to calculate Money Flow, In the next three days, we will compare our MFlow with the famous WSJ money flow to see which one is more useful. We compare them by the following play rule:
USE full account money to trade 10 stocks equally based on ERTrack.com and WSJ money flow, we buy the top 5 money flow in stocks and short the top 5 money flow out stocks based on close price. Then we calculate the account performance after next day market close.
Here is the WSJ 2/7/2017 Top FLOW IN and OUT lists:
Here is the ERTrack.com Top money Flow List:
Here is spread sheet :
In summary, if you based WSJ MFLOW to buy and short the top 5 and bottom 5 stocks yesterday, your account will post a -1.71% return today, while if you based on ERTrack.com MFlow to do the same thing, your account will post a 0.85% Return today, compare the S&P 500 return of 0.13%, which is not bad.
Let’s wait and see tomorrow’s PK !