Investors like to see charts like the one above, where money flows and index performance diverge. This suggests the sector is accumulation money inflows and that will show in stock price appreciation.
Harbin Electric (NASDAQ:HRBN) has bounced back off July lows and has been on fire ever since. But Huaneng Power Int. (NYSE:HNP), China's largest independent power producer, is in the red for the year. If the money flow analysis is right, Huaneng Power (NYSE:HNP) is bottoming out and is up to a surprise rally.