The Smart Money Flow Index is calculated by taking the action of the Dow in two time periods: the first 30 minutes and the close. The first 30 minutes represent emotional buying, driven by greed and fear of the crowd based on good and bad news. There is also a lot of buying on market orders and short covering at the opening. Smart money waits until the end and very often tests the market before by shorting heavily just to see how the market reacts. The index fell ~13.7% in September from the August peak and looks to be headed lower.