Yes, it is. It is work even better than on the stocks. Why? Because indexes have higher volume and their volume based indicators are not as affected by single volume spikes as it is on stocks.
The only problem is that you need to have volume for indexes. At this moment there is not a lot of chart providers who offers daily and intraday volume for S&P 500, DJI, Russell 2000 and etc. If you check
http://www.marketvolume.com/analysis/mon...
you will see that these guys have MFI (Money Flow Index), CMF (Chaikin Money Flow) and other money flow indicators (see chart in description).
I would recommend checking free trial with
http://www.marketvolume.com/free_trading...
they specialize on volume and money flow analysis
Well
If you are not a big expert of the market you need some kind of technical support to succed with binary trading. I use "autobinary signals". It's a good software. I'm using it with good results. Details here: http://www.goobypls.com/r/rd.asp?gid=551
Cheers.
sure. the indices are just a "basket" of stocks
I know money flow index works for stocks, but I was wandering whether it worked for index trading, for example the Dow Jones Industrial Average...
