Indicator Formula

Technical Details — Chaikin Money Flow (CMF)

Overview

The Chaikin Money Flow measures volume-weighted buying and selling pressure.

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Mathematical Derivation

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Compact Formula Summary

See Chaikin Money Flow technical documentation for formula.

Defaults: Period = 20 bars

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Complete Calculation Example

See Chaikin Money Flow documentation for worked examples.

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Key Takeaways from the Example

1. Volume Confirmation: CMF adds volume context to price signals
2. Zero-line crosses: Indicate shifts in buying/selling pressure

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Caution

Important: Chaikin Money Flow requires reliable volume data. On assets with low or inconsistent volume, signals may be unreliable.