Y-Flow Capital Flow & Rotation
Learn how to use Y-Flow to track sectoral, country, regional, and thematic rotation trends, momentum shifts, and relative strength.
What is Y-Flow?
Y-Flow is the visual cockpit for monitoring capital flows and rotation across global sectors, countries, regions, and investment themes. By mapping short-term momentum against structural long-term trends, Y-Flow highlights where institutional capital is accumulating, consolidating, or distribution-bound.
This feature assists in identifying market leadership shifts and evaluating the structural participation supporting your Y-Active portfolio.
Sector & Theme Rotation Framework
The Y-Flow rotation panel integrates a dual-axis momentum and trend tracking engine. Every asset (sector, country, region, or thematic ETF) is mapped dynamically based on two core mathematical dimensions:
- Short-term Momentum (RSI 14): Measures the relative speed and velocity of recent price movements on a 14-day lookback.
- Structural Long-term Trend (Distance to 200 SMA %): Measures the percentage distance of the asset’s current price from its 200-day Simple Moving Average, indicating whether it is in a primary structural uptrend or downtrend.
The Quadrant Matrix
The core component of Y-Flow is the Quadrant Matrix (Monte Carlo / relative rotation style graph), which divides the market into four distinct rotation phases:
- Leading (Top-Right): Assets in a strong long-term structural uptrend with high short-term momentum. These are the current market leaders. Consider holding or looking for accumulation points on minor pullbacks.
- Weakening (Top-Left): Assets in a long-term structural uptrend whose short-term momentum is beginning to cool. This indicates a potential consolidation phase or short-term profit-taking.
- Lagging (Bottom-Left): Assets in a structural long-term downtrend with weak short-term momentum. These assets show broad institutional distribution and represent higher risk.
- Improving (Bottom-Right): Assets in a structural downtrend that are showing rising short-term momentum. This represents early potential accumulation or technical rebounds as they begin to base.
Leaderboard & Performance Matrix
In addition to the visual quadrant chart, Y-Flow provides comparative lists and performance matrices:
- Relative Strength Leaderboard: Sorts all assets in the active universe based on their momentum score to quickly isolate top leaders and underperformers.
- Performance Matrix: Displays performance heatmaps across historical timeframes (1M, 3M, 6M, YTD, 1Y) to cross-reference short-term shifts with primary structural regimes.
- Asset Universe Toggles: Easily switch between five distinct universes to monitor capital flows:
- US Sectors: The 11 GICS sectors represented by SPDR Select Sector ETFs, benchmarked against equal-weighted US large-caps (RSP).
- Global Sectors: The 11 GICS sectors represented by iShares Global Sector ETFs, benchmarked against global equities (MWEQ).
- Countries: 45 individual country-specific ETFs spanning Developed, Emerging, and Frontier markets globally, benchmarked against the total world stock market (VT).
- Regions: 6 primary geographical and economic regions (North America, Europe, Developed Asia-Pacific, Emerging Asia, Latin America, and Broad Emerging), benchmarked against the total world stock market (VT).
- Thematic: 42 high-conviction thematic ETFs (Artificial Intelligence, Robotics, U.S. Infrastructure, Smart Grid, Cybersecurity, Aerospace & Defense, Space Economy, Genomics, Digital Assets, Clean Energy, Electrification, Fintech, E-commerce & Gaming, Data Center Supply Chain, Power Infrastructure, Next-Gen Defense Tech, Tokenization & Blockchain, Ethereum & Staking, Nuclear Energy, Reshoring, Water Tech & Security, Humanoid Robotics, Rare Earths, Quantum Computing, HALO Assets, AI Memory Bottleneck, Ocean Shipping, Freight Rates, Logistics, Agriculture, Gold, Silver, Platinum, Palladium, Copper Miners, Broad Metals & Mining), benchmarked against the total world stock market (VT).