PARTICIPATION INDICATOR
Money Flow Index
Combines typical price and volume in an RSI-like oscillator.
Start with the input, not the story.
Positive versus negative price-volume flow on a bounded scale.
Plain-language formula
Typical price multiplied by volume is grouped into positive and negative flow, then transformed to 0-100.
Platform implementations can differ in price input, smoothing, indexing and rounding. Record the exact settings and provider before comparing results.
03 / USEFUL REGIME
Where it may help
Feed-specific research where a meaningful volume series exists.
04 / WEAK REGIME
Where it struggles
Decentralised spot FX feeds with incomplete tick-volume information.
Add a different measurement.
Trend filterStructure
A complementary tool should answer a different question, such as volatility, regime or position risk. Test the base rule before testing the combination.
The shortcut to avoid
Assuming exchange-grade volume coverage in retail spot FX.
A testable next step
Compare the same rule on several feeds before relying on it.