Value In Time and ChartMill relationship

[engr_358]

Pascal - I first found ChartMill.com during some internet searches. Then ChartMill led me to effectivevolume.com and then I went and bought your book (Kindle version)!

So the question is, what is the relationship between the two sites and how similar are the Effective Volumes and Chartmill Channels on ChartMill.com to the Effective Volumes and Active Boundaries on Effectivevolume.com? I am curious because you are also listed as a contributor on ChartMill.

The primary reason I am asking is that I have started using the ChartMill Stock Screener to look at stocks that Effectivevolume.com doesn't cover (you only have about 1,000 stocks in the database).

Thanks,
PS - I subscribed to EV Database last night for 1 quarter!

[Pascal]

There is no relationship between the two sites.
Any charting site can use and display EV as far as there is a reference back to the effectivevolume.com web site.
I would like to see more charting web sites offering the EV charts.



Pascal

[grems8544]

I would like to add my two cents about Chartmill.

In full disclosure:

I am a registered member at Chartmill
I use Chartmill much like I use Finviz
I've recommended both Chartmill and this EV site during my presentations because they both offer value to an investor


As you pointed out, Chartmill can be run on any valid symbol with volume data whereas this site concentrates on about 1000+ stocks. This can be valuable if you understand how to read EV charts and understand where the "zero" is (the "zero" being the point where the accumulators are all set to 0). This latter point is important because if you can't mentally make other zeros in your mind when looking at a chart it can become quite misleading looking at a Chartmill stock in EV-view compared to what we have here. This is because Chartmill forces the zero to many months ago, and LEV/SEP deviations which have occurred in the last week or two are not very obvious on those charts.

Okay, with that stated, Chartmill has limitations when it comes to EV.

First, the resolution of the Chartmill graphs with respect to EV is quite poor. It no way compares with the resolution of the graphs available here, and I contend that you need better resolution with respect to multiple time frames in EV to get a better picture of what is going on with the equity.

Next, although Chartmill allows us to scan for stocks that meet a certain EV criteria, you have to dig pretty deep to understand whether this is a sector behavior or an individual stock behavior. The entire premise of this EV site is that large players spread their buying/selling across the entire industry group, and unless you specifically scan for the individual stocks in the group, it is difficult to see these relationships at Chartmill.

There is no equivalent to money flow analysis at Chartmill.

There is no ability to scan on industry groups at Chartmill with respect to EV. What you can do at Chartmill with respect to industry groups is clunky, and it is very difficult to draw inferences with the resolution presented in the data. Further, scanning is made difficult because EV constantly evolves with an equity, and it is important to look at both longer-term zero points (e.g., 40 days ago) simultaneously with what has occurred in a short-term time frame, e.g., Pascal's DIVA file which looks at 3d divergence.

Hence, the use cases are different, and while I know Pascal stated that he wants more people to offer EV charts at their sites, there is a big asterisk "*" that says "offer it in such a way that it makes it very useful to people without a lot of work". I don't think any site except Pascal's has addressed this.

If you want to review EV data on any stock, future, ETF, whatever, simply get the AmiPro or TradeStation plugin and you'll be up and running.

My two cents ... worth what you paid for it ...

Regards,

pgd

[Pascal]

Thank you for this complete analysis of Chartmill. I have never used them and hence could not make a constructive comment.

Two years ago, I tested their RT EV calculation, but they produced results that were very different from mine.
This is due to the fact that they probably analyse only the data that is supplied from Euronext - their data partner.
It is probable that Euronext did not provide RT data from all other exchanges.

Since funds place orders on multiple exchanges, it is very important for a RT analysis to collect "time-stamped" volume data from all exchanges, which our exchange independent data provider is doing.

We will have a RT EV service starting in February.


Pascal