Indicators · Read the signal
Money Flow Index read as bull, bear or undecided, with divergence.
A standard MFI line leaves you to decide what its middle readings mean. Money Flow Index+ makes the middle a state of its own: green above the upper band, red below the lower band, grey in between. It answers one question: is money flow committed to a direction right now, or undecided? It also marks divergence on the same line and can send alerts.
Opens the indicator on TradingView.
Each part, what it shows and why it is there.
MFI, the Money Flow Index, measures buying and selling pressure using both price and volume. Money Flow Index+ colours the line by where it sits: green above the upper band, red below the lower band, grey in between. The colour describes the current level, not the direction the line is moving, so a falling green line is still above the upper band.
Most MFI readings ignore the middle. This one makes it a state. In the author's words, the grey band is the feature, not a gap between the real states. Each bar is read on its own: move back into the middle and the line turns grey on that bar. The tool will not invent a direction from noise drifting around the centre.
Lines frame the pane: the two state boundaries, a centre line for reference, and an overbought and an oversold extreme set wider than the usual ones, because the line is fast by default. Light shading covers the working range and the undecided zone stands out. Extra shading appears only while the line is beyond an extreme; those are the closest thing it has to a signal.
A line joins two turns of the MFI and a label names the kind. Regular divergence reads as exhaustion: price makes a new extreme and money flow does not. Hidden divergence reads as continuation: price holds its structure while money flow makes the new extreme. Divergence is found on the same line you see, so every mark lands on a visible turn.
The whole indicator, divergence included, can be calculated on a higher timeframe and shown on your chart. Wait for that timeframe's bars to close and nothing repaints; the line steps from one closed bar to the next. Or let the forming bar show, and the reading updates live. The marks still land on the right bars at any chart timeframe.
There are no entry arrows, no stops, no targets and no statistics. A green line is not a buy. Money Flow Index+ is a context read that sits alongside your structure and execution, not in place of them. It does not predict: money flow can fade for a long time while price keeps going, and a divergence can end with the line catching up rather than price turning.
Money flow is undecided: MFI sits between the two state boundaries. The tool treats that as a real answer rather than forcing a direction.
No. Green means MFI is above the upper band. The tool is a context read, with no entry arrows, stops or targets.
The colour can change on the bar that is still forming, because it follows the level; it is final at the close. A divergence is drawn back at its turn once the turn is confirmed, and on a higher timeframe you can wait for its bars to close.
It runs, but MFI inherits the quality of the volume data. Spot forex tick volume and crypto exchange feeds are less meaningful than real reported volume. On a symbol with no volume it stops with an error.
Money Flow Index+ is an analysis tool, not investment advice. Charts and examples are illustrations.