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MFI Indicator with Bollinger-Based Flat Market Detection

Article MQL5 code base
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Summary

This indicator combines the Money Flow Index with a way to flag low-volatility, sideways conditions. It uses Bollinger Band contraction as the flat-market criterion. When the bands shrink past a configurable threshold, the colored MFI cloud contracts around the midpoint value of 50, and a thick gray line marks the flat state.

The document describes the display behavior and the threshold input, but gives no trading rules, performance results, or tests showing how well the flat-state signal works. The threshold is specified in points, so its practical meaning may depend on the instrument and settings. Treat the indicator as a visual market-state aid; the document does not establish that it predicts price moves or improves a strategy.

Key ideas

  • The indicator combines MFI visualization with detection of flat market conditions.
  • Bollinger Band contraction is used to identify the flat state.
  • During a detected flat state, the cloud contracts around MFI value 50 and a gray line appears.
  • The contraction threshold is adjustable in points.
  • The document provides no performance evidence or trading rules.

Tags

Technical indicatorsVolatility

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.