Chaikin Money Flow
Volume-weighted measure of buying/selling pressure over 20–21 periods; positive values suggest accumulation, negative values distribution.
Formula
Money Flow Multiplier = ((Close − Low) − (High − Close)) / (High − Low); Money Flow Volume = MFM × Volume; CMF = Σ(MFV, n) / Σ(Volume, n)
Chaikin Money Flow sums the Money Flow Volume over n periods and divides by total volume for the same period. Money Flow Volume itself weights each bar's volume by how close the close is to the bar's midpoint — a close at the high of the bar produces maximum positive flow.
Values persistently above zero confirm an uptrend is backed by buying volume. A cross below zero warns that distribution may be taking over. CMF differs from OBV by considering where within the bar the close falls, not just whether the close was up or down on the day.
Related Terms
Accumulation/Distribution Line
Running total of volume adjusted for where the close falls within each bar's range; divergence with price highlights accumulation or distribution.
IntermediateMoney Flow Index (MFI)
Volume-weighted RSI that measures buying and selling pressure; above 80 is overbought, below 20 oversold, over a 14-period default.
IntermediateOn-Balance Volume (OBV)
Cumulative volume indicator that adds volume on up days and subtracts it on down days to reveal whether volume is confirming a price trend.
BeginnerVolume Oscillator
Percent difference between a fast and slow EMA of volume; above zero means short-term volume exceeds long-term average, signalling heightened activity.
Beginner