# Money Flow Index (MFI): The Trading Secret Hidden in Volume

Ever wonder what whales are actually doing? They're not just moving prices—they're moving *money*. That's where the Money Flow Index comes in.

MFI is basically a volume-weighted momentum meter that tells you whether money is flooding INTO an asset or draining OUT. Think of it as a heat map: values between 0-100 show you the real story behind the price move.

**The Simple Version:**
- **MFI above 80?** Overbought. Buyers went all-in. Correction incoming (maybe).
- **MFI below 20?** Oversold. Panic sellers exhausted. Potential bounce zone.
- **MFI between 40-60?** Neutral. No strong signal yet.

**How It Actually Works:**
1. Take the average of high, low, and close prices (typical price)
2. Multiply by volume = money flow for that candle
3. Compare positive flows vs negative flows over ~14 days
4. Convert to 0-100 scale

Why it matters: Price can lie, but volume + money rarely does. MFI cuts through noise by measuring *actual capital movement*, not just sentiment. It's the difference between "people are talking about it" and "people are actually buying it."

**Real Talk:** MFI isn't magic. Use it alongside price action, support/resistance, and other indicators. Solo indicators = trap. Confluence = profit.