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Trend Flow Oscillator (CMF + MFI) + ADX
## Trend Flow Oscillator (TFO + ADX) Indicator Description
The Trend Flow Oscillator (TFO+ADX) combines two volume-based indicators, Money Flow Index (MFI) and Chaikin Money Flow (CMF), along with the Average Directional Index (ADX) into one comprehensive oscillator. This indicator provides traders with insights into momentum, volume flow, and trend strength, clearly indicating bullish or bearish market conditions.
### How the Indicator Works:
1. **Money Flow Index (MFI)**:
* Measures buying and selling pressure based on price and volume.
* Scaled from -1 to +1 (where positive values indicate buying pressure, negative values indicate selling pressure).
2. **Chaikin Money Flow (CMF)**:
* Evaluates money flow volume over a set period, reflecting institutional buying or selling.
* Also scaled from -1 to +1 (positive values suggest bullish accumulation, negative values bearish distribution).
3. **Average Directional Index (ADX)**:
* Measures trend strength, indicating whether a market is trending or ranging.
* Scaled from -1 to +1, with values above 0 suggesting strong trends, and values near or below 0 indicating weak trends or sideways markets.
* Specifically, an ADX value of 0 means neutral trend strength; positive values indicate a strong trend.
### Indicator Levels and Interpretation:
* **Zero Line (0)**: Indicates neutral conditions. When the oscillator crosses above zero, it signals increasing bullish momentum; crossing below zero indicates bearish momentum.
* **Extreme Zones (+/- 0.75)**:
* Oscillator values above +0.75 are considered overbought or highly bullish.
* Oscillator values below -0.75 are considered oversold or highly bearish.
* The indicator features subtle background shading to visually highlight these extreme momentum areas for quick identification.
* Shading when values above or below the +/-1.0 level.
* **Color Coding**:
* Bright blue indicates strengthening bullish momentum.
* Dark blue signals weakening bullish momentum.
* Bright red indicates strengthening bearish momentum.
* Dark maroon signals weakening bearish momentum.
The Trend Flow Oscillator (TFO+ADX) combines two volume-based indicators, Money Flow Index (MFI) and Chaikin Money Flow (CMF), along with the Average Directional Index (ADX) into one comprehensive oscillator. This indicator provides traders with insights into momentum, volume flow, and trend strength, clearly indicating bullish or bearish market conditions.
### How the Indicator Works:
1. **Money Flow Index (MFI)**:
* Measures buying and selling pressure based on price and volume.
* Scaled from -1 to +1 (where positive values indicate buying pressure, negative values indicate selling pressure).
2. **Chaikin Money Flow (CMF)**:
* Evaluates money flow volume over a set period, reflecting institutional buying or selling.
* Also scaled from -1 to +1 (positive values suggest bullish accumulation, negative values bearish distribution).
3. **Average Directional Index (ADX)**:
* Measures trend strength, indicating whether a market is trending or ranging.
* Scaled from -1 to +1, with values above 0 suggesting strong trends, and values near or below 0 indicating weak trends or sideways markets.
* Specifically, an ADX value of 0 means neutral trend strength; positive values indicate a strong trend.
### Indicator Levels and Interpretation:
* **Zero Line (0)**: Indicates neutral conditions. When the oscillator crosses above zero, it signals increasing bullish momentum; crossing below zero indicates bearish momentum.
* **Extreme Zones (+/- 0.75)**:
* Oscillator values above +0.75 are considered overbought or highly bullish.
* Oscillator values below -0.75 are considered oversold or highly bearish.
* The indicator features subtle background shading to visually highlight these extreme momentum areas for quick identification.
* Shading when values above or below the +/-1.0 level.
* **Color Coding**:
* Bright blue indicates strengthening bullish momentum.
* Dark blue signals weakening bullish momentum.
* Bright red indicates strengthening bearish momentum.
* Dark maroon signals weakening bearish momentum.
开源脚本
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这些信息和出版物并不意味着也不构成TradingView提供或认可的金融、投资、交易或其它类型的建议或背书。请在使用条款阅读更多信息。
开源脚本
本着TradingView的真正精神，此脚本的创建者将其开源，以便交易者可以查看和验证其功能。向作者致敬！虽然您可以免费使用它，但请记住，重新发布代码必须遵守我们的网站规则。
免责声明
这些信息和出版物并不意味着也不构成TradingView提供或认可的金融、投资、交易或其它类型的建议或背书。请在使用条款阅读更多信息。