Market Facilitation Index

The Market Facilitation Index (MFI) was authored by Bill Williams. Important cases to look for: 1) MFI Up and Volume Up – the movement has begun and picks up speed. 2) MFI Down and Volume Down – market participants no longer interested. 3) MFI Up and Volume Down – market is not supported by clients. 4) MFI Down and Volume Up – battle between bears and bulls. No user inputs are required for this study. This indicator’s definition is further expressed in the condensed code given in the calculation below.

How To Trade Using the Market Facilitation Index

No trading signals are calculated for this indicator.

How To Access in MotiveWave

Go to the top menu, choose Study>Bill Williams>Market Facilitation Index

or go to the top menu, choose Add Study, start typing in this study name until you see it appear in the list, click on the study name, click OK.

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Calculation

//index = current bar number

vol = getVolume(index);
PlotHist: MFI = (getHigh(index) - getLow(index)) * 1000 / vol;