Skip to content
StatePath
Tool Atlasmarket.mfi

Tool

Money Flow Index

market.mfi

MarketVolume

Inputs

No typed inputs.

Outputs

Buffer (time series)

A 0–100 volume-weighted momentum line; above 80 is overbought, below 20 oversold. Because it counts volume, divergences between MFI and price can flag weakening moves.

MFI (Money Flow Index) is a momentum oscillator that works like RSI but adds volume, so it reacts to how much money flows in and out, not just price direction. It reads on a 0–100 scale where above 80 is overbought and below 20 is oversold.

Money Flow Index overview diagram

How it works

For each bar it takes the typical price (the average of high, low and close) times volume to get 'money flow', then marks it positive when the typical price rose and negative when it fell. Over the period (default 20 bars) it compares total positive flow to total negative flow and maps the ratio onto 0–100.

Configuration

periodscalar

How many bars of money flow to compare. Larger = smoother and slower to react; smaller = faster and noisier. 20 is the default here.

period diagram

Connects to

Feeds into

Examples

  • Filter: only take a long when MFI is below 20, confirming an oversold dip backed by volume.
  • Watch for MFI making a higher low while price makes a lower low — a volume-backed bullish divergence.

Common mistakes

  • Reading it like RSI and ignoring volume — a price move on thin volume moves MFI far less than the same move on heavy volume.
  • Using it on a symbol with poor or synthetic volume data, where the volume term is meaningless.

See also