Account Info
Log Out
English
Back
Log in to access Online Inquiry
Back to the Top
Money never sleeps: How capital flow reflects the power of supply and demand
Views 93K Contents 103

How Capital Flow Reflects The Power 🔋 Of Supply & Demand 🤨

By checking the flows of funds, we can gasp the  transactions volume size (direction) or so & the moomoo app "Capital Flow" indicator features make it convenient as a guiding tool for... especially traders .
Let's use $Tesla(TSLA.US)$ as an example :
Order Capital Size are being categorised in:
Extra Large Orders - XL
Large Orders - L
Medium Orders - M
Small Orders - S
How Capital Flow Reflects The Power 🔋 Of Supply & Demand 🤨
As u can see, the Outflow > Inflow = Indicate downtrend for 23/9/2022.
Capital Trend Curve is also categorised into the same respectively size volume as mentioned above with 1 addition curve :
Extra Large
Large
Medium
Small
Overall Trend (Addition- preferred one generally)
How Capital Flow Reflects The Power 🔋 Of Supply & Demand 🤨
Curve Overall Trend indicate downtrend for the day.
Next, we can look into the historical capital flow chart:
How Capital Flow Reflects The Power 🔋 Of Supply & Demand 🤨
No need say, duh ?
Of course it's the same = downtrend.
It's just being presented in a chart form to ur preferences .
All of the above 3 images just showed the data being presented in different forms to ur own preferences of viewing on .
Ok , here is the real historial capital flow data piece in "Details" form that used to form ur beautifully charts or graph :
How Capital Flow Reflects The Power 🔋 Of Supply & Demand 🤨
How Capital Flow Reflects The Power 🔋 Of Supply & Demand 🤨
As u can see, the stock price rallied according to the historial capital flow data. I don't know which idiot institutions/BB go & pumped up the stock all the way from 14/9/2022 till 22/9/2022 when we already expected the FED to raise interest rate with such bad CPI on the 13/9/2022...
& on the 14/9/2022 is the day 'so happened' the biden's news on EV is released & the stock price rallied on the 14/9/2022 ? After just only 1 day fall on the 13/9/2022 ?
Personally, I think they are just asking for it & the current falling is just very minor only.
Welp, that's just all my hypothesis & point of view.
Additional - formula:
Inflow = If stock is traded at the selling price or higher
Outflow = If stock is traded at the purchase price or lower
Net inflow = Inflow - Outflow
Block order net inflow = Net inflow extra large orders + Net inflow large orders
As for net outflow = use dam ur brain 🧠
Important note 📝:
The capital flow does not has anything to do with the final stock price raise or fall result.
Capital flow is the measure of the supply & demand .
So, don't be surprised when price raised on a net outflow day .
Having that said, capital flow is a good measurement for a possible stock price changes, I guess .
That's why don't be overly dependent on 1 indicator .
For more informations on capital flow, check out @Meta Moo post (it got all the basic knowledge ):
DYODD before investing
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only. Read more
1
1
5
+0
2
Translate
Report
26K Views
Comment
Sign in to post a comment
  • whqqq : How do you complete several high-quality articles every day? you are really brilliant! undefined

  • Milk The CowOP whqqq: Ty undefined.
    Not everyday, it depends on feels & mood.
    Some are because I already got the ideas 💡 long time ago but never mentioned out because it may be too sensitive for public view = (a minority point of view/things that ppls don't really like mentioning), thinking quite hard how to put it in a better way.
    Moomoo Event reward also give me the motivation drive.
    I'm a curious creature & so, I was thinking why not share & learn together on the spot since got reward 🥕+🐴 = undefined+undefined. Just putting what I learned/discovered new from @Meta Mooeducation into practical usage, although some of them are already known to me long time ago.
    Learned many new good moomoo app indicators from @Meta Mootoo undefined.
    Lazy to learn more when no 🎁 reward. So, I take it as a win-win undefined.

DYODD before investing 👌
2319Followers
18Following
3783Visitors
Follow