Parameters

Learn how adjusting MFI’s parameters changes signal sensitivity and indicator behavior.

Overview

Money Flow Index parameters control sensitivity and signal frequency.

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MFI Period

What It Controls: Lookback for money flow

Default: 14 bars

How It Works:

• Lower values (5–10): More responsive, more signals
• Standard values (11–16): Balanced
• Higher values (17–25): Smoother, fewer signals

What Happens at Extremes

Timeframe Recommendations

Timeframe	Recommended	Notes
1-Hour	14	Standard
4-Hour	14–16	Balanced
Daily	14–21	Position trading

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Note

Parameter Optimization Tip: Start with standard settings and use Reversion’s backtester to measure signal quality. Optimize per asset and timeframe — what works for BTC daily may not work for ETH 4H. Check the indicator usefulness score in algo metrics to verify MFI is contributing to your strategy.