ARSENAL > Smart-money flow

Smart-money flow

Markets
Definition
Index that tracks divergence between the first 30 minutes of trading (retail-driven) and the last hour (professional-driven). The theory: retail trades on overnight news and sentiment, professionals trade on facts and positioning.

Indicator value matters less than direction: rising = professionals net buying, retail net selling = bullish setup. Falling = professionals selling into retail buying = bearish.
← Back to full dictionary