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Re: None

Sunday, 02/01/2015 5:00:46 AM

Sunday, February 01, 2015 5:00:46 AM

Post# of 2804248
Compensated Awareness Post View Disclaimer
Chaikin Money Flow is not suited for all securities. The chart above shows P.F. Chang (PFCB) with some 18 crosses above +.50 or below -.50. Basing CMF signals on these crosses resulted in one whipsaw after another. It is important to analyze the basic price trend and the characteristics of an indicator with a particular security. PFCB exhibits some trend, but price action within this trend is choppy and money flow cannot maintain a positive or negative bias. It would be better to find a different indicator for this stocks.

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