Chaikin Money Flow (CMF)
Chaikin Money Flow
Money flow over a period; positive readings point to buying pressure, negative to selling pressure.
How to read it
Chaikin Money Flow blends price position within each bar with volume, oscillating between roughly −1 and +1 around a zero line. Above zero, buying pressure dominates (volume on up-closes); below zero, selling pressure.
Trading signals
Sustained CMF above zero backs up an uptrend; a cross below zero warns money is leaving. Like OBV, its strongest use is divergence — price rising while CMF slips under zero says the rally lacks real buying volume.
Parameters
CMF Period is the window volume and price are summed over. A shorter period is twitchier and flips sign more often; a longer one gives a calmer read of the money flow.
- CMF Period
- Bars over which money flow is summed.