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  • Features
  • Buy & Sell Signals with Trailing Stop
  • Take profit
  • Trend Continuation Signals
  • Oscillator
  • Trend line
  • Retracement
  • Money flow
  • Settings
  1. Quant Toolkits

Money Flow Trend

Learn more about Money Flow Trend

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Last updated 2 months ago

The Money Flow Trend Indicator is a next-generation market intelligence tool engineered for traders who demand unparalleled precision in trend dynamics. Utilizing a state-of-the-art framework that adapts in real-time to capital flows and momentum fluctuations, this indicator seamlessly deciphers market behavior, allowing traders to execute with confidence.

Advanced Trend Mapping
Dynamic Liquidity Flow Analysis

Analyzes market structure with an adaptive algorithm that isolates meaningful directional movements from noise, ensuring traders stay in sync with dominant trends.

Captures the hidden forces behind price movements, identifying institutional activity and liquidity imbalances to refine trade timing.

Features

Buy & Sell Signals with Trailing Stop

The primary feature of this toolkit is to provide a high win rate with great risk-reward trades in trend trading. This algorithm focuses purely on identifying the underlying trend and finding pullbacks within that trend.

Take profit

To make this system complete, we have added dynamic take profit points that trigger in alignment with the trend.

Use these points to secure part of your profit, while fully exiting when the trailing stop is hit.

Trend Continuation Signals

Trends can sometimes be very long and continue for an extended period, which is why we have added extra trend continuation signals. These signals enable traders to add positions as the trend evolves.

Important Note 1

Once you are in the trend, make sure to ride it as long as possible because this is key to maintaining a great risk-reward ratio in the long run. If the trailing stop is hit, take the small loss and stay consistent. If you follow this approach, this is a winning system.

Important Note 2

At some point, the trend will change—we all know that. A trend change happens after a market impulse or a pullback. Our system might detect that move as a trend continuation, but in reality, it was the start of a trend change, leading to a small loss. This is part of the system.

Despite this, the system remains profitable due to its high win rate and strong risk-reward ratio.

Oscillator

The secondary feature of this toolkit is the Money Flow Oscillator, which provides multiple functions and insights.

  • The histogram tracks short-term momentum, allowing us to follow price movements in real-time and gauge their strength as the histogram rises and falls.

  • The Money Flow Line tracks overall market money flow, helping to identify buying and selling pressure.

  • The Trend Line represents the long-term money flow trend, providing a broader view of market direction.

Trend line

The Trend Line traces the long-term Money Flow Index in the market and serves as the primary trend calculation for the toolkit.

  • A red line indicates negative money flow, suggesting a bearish trend.

  • A green line indicates positive money flow, suggesting a bullish trend.

This line is primarily used for trend confirmation and to validate pullbacks within the trend.

Retracement

The Retracement Impulse (the yellow part of the histogram) represents market impulses or pullbacks within the current trend. These pullbacks have a high probability of signaling a top or bottom within the trend and can serve as additional entry points or as confirmation for the Buy/Sell signals on the chart.

Money flow

The white, fast-moving Money Flow Line detects strong money flow pressure. It often moves rapidly toward the upper and lower bands, which can indicate overbought or oversold market conditions. These conditions are often followed by consolidation or a small reversal toward the trend’s mean. When the Money Flow Line peaks, it can also be a great area to secure some profits within the trend.

Settings

Trend Length
  • What It Does: Controls the smoothness of the trend calculation.

  • Impact:

    • Higher values → Reduces noise and smooths the trend.

    • Lower values → Increases sensitivity to market fluctuations.

Retracement Impulse
  • What It Does: Defines the retracement calculation length for identifying pullbacks or reversals.

  • Impact:

    • Shorter lengths → Reacts faster to retracements.

    • Longer lengths → Identifies broader pullbacks.

OBOS Threshold
  • What It Does: Sets the Overbought/Oversold (OBOS) levels for identifying extreme market conditions.

  • Impact:

    • Higher values → Detect stronger overbought/oversold zones.

    • Lower values → React faster to potential reversals.

Money Flow Period
  • What It Does: Sets the lookback period for the Money Flow analysis.

  • Impact:

    • Shorter periods → Focus on short-term fluctuations.

    • Longer periods → Identify sustained money flow trends.

Entry Speed
  • What It Does: Determines how fast the indicator reacts to entry signals.

  • Impact:

    • Lower values → Faster signals, more responsive but higher noise.

    • Higher values → Slower, more stable trade setups.

Top Sensitivity
  • What It Does: Enables new high detection to confirm trend-following entries.

  • Impact:

    • Enabled → Identifies breakouts in strong trends.

    • Disabled → Relies only on momentum-based signals.

    • Short periods → React quickly to new highs.

    • Long periods → Consider broader trends.

Bottom Sensitivity
  • What It Does: Enables new low detection for exit conditions.

  • Impact:

    • Enabled → Ensures early exits in downtrends.

    • Disabled → Relies only on standard trend changes.

    • Short periods → Respond quickly to price drops.

    • Long periods → Focus on major downturns.

Trailing Stop
  • What It Does: Toggles the trailing stop feature.

  • Impact:

    • Enabled → Adds a dynamic stop-loss that follows price movements.

    • Disabled → No trailing stop is applied.

Trailing Stop Multiplier
  • What It Does: Adjusts the distance of the trailing stop from the price.

  • Impact:

    • Higher values → Allows more room for price fluctuations.

    • Lower values → Keeps stops tighter, reducing risk.

Take Profit Sensitivity
  • What It Does: Adjusts how aggressively take profit levels are set.

  • Impact:

    • Higher values → Wider TP targets, suitable for longer trends.

    • Lower values → Tighter TP targets, better for quick scalping trades.

Show Trend Continuations
  • What It Does: Enables continuation signals for traders following existing trends.

  • Impact:

    • Enabled → Highlights pullback entries in strong trends.

    • Disabled → Focuses only on initial trend signals.

Align with the Trend
  • What It Does: Ensures continuation signals align with the current market trend.

  • Impact:

    • Enabled → Prevents counter-trend trades.

    • Disabled → Allows entries regardless of trend direction.

Signal Speed
  • What It Does: Adjusts the reaction time of the indicator to trend continuation signals.

  • Impact:

    • Lower values → Faster signals, reacting quickly to price movements.

    • Higher values → Slower, more stable signals, reducing noise and focusing on major trend shifts.

Sensitivity
  • What It Does: Defines how sensitive the indicator is to continuation setups.

  • Impact:

    • Lower values → Reacts faster but with more noise.

    • Higher values → Waits for stronger confirmations.

Indicator Style Settings

Enable Trend Line

  • What It Does: Toggles the trend line visualization.

  • Impact:

    • Enabled → Displays a trend-following line.

    • Disabled → Only oscillator-based analysis is used.

Enable Histogram

  • What It Does: Toggles the trend strength histogram.

  • Impact:

    • Enabled → Provides momentum visualization.

    • Disabled → Focuses only on trend signals.

Retracement Impulse Highlight

  • What It Does: Adds highlighting for strong retracements.

  • Impact:

    • Enabled → Makes retracement areas clearer.

    • Disabled → Keeps a minimalistic view.

Retracement Triangles

  • What It Does: Displays triangles to mark retracements.

  • Impact:

    • Enabled → Highlights pullbacks visually.

    • Disabled → Keeps the chart clean.