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Indicators

What Is the Money Flow Index

The money flow index is a score from 0 to 100 that weighs the last fourteen days' up days against their down days, with each day counting for its price times its volume, so a busy day weighs more than a quiet one. This paper shows you the Nasdaq's readings of 2025 drawn from real bars and their volume — 21 after the April fall, 91 in the September rise — the idea as a shop's till with money in and out, MFI beside RSI under the daily chart, the arithmetic for one day, and the kind of volume the platform uses.

Difficulty
Intermediate
Reading time
5 min
Pages
8
Reviewed by
Saman Rahbar

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RSI, with volume on the scale

The money flow index is a score from 0 to 100 built like RSI: the last fourteen days' up days weighed against their down days. The difference is that each day counts for its price times its volume, so a busy day weighs more than a quiet one. On 4 April 2025, after ten down days out of fourteen, the Nasdaq's index read 21. On 22 September, after thirteen up days out of fourteen, it read 91. Where the volume is even the two indicators read alike; where it is uneven, they part.

A shop's till

The picture is a shop's till. On an up day money goes in, on a down day it goes out, and the size of each note is the day's price times its volume: a big move on a busy day is a big note. The display shows the balance of the last fourteen days, squeezed into a scale from 0 to 100. On 22 September ten times as much had gone in as out and the display read 91. On 4 April a quarter as much had gone in as out, and it read 21. Volume is the note's size, and that is the whole of the difference from RSI.

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