SwgMFI

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🧭 Description (for TradingView)

Swing Filter MFI + Divergence + Exhaustion

This indicator is designed to identify swing phases, momentum shifts, and exhaustion points using a refined version of the Money Flow Index (MFI).
It combines multi-layer filters to help traders visualize when momentum is building, fading, or reversing.

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⚙️ Core Logic
• MFI Momentum Wave
Displays normalized money flow pressure (–60 to +60).
Gray zone = neutral.
Red/Green extensions = strong momentum bursts beyond upper/lower bands.
• Exhaustion Detection
Highlights orange (bull exhaustion) and blue (bear exhaustion) zones when momentum starts to fade after an extended move.
• Divergence Recognition
Plots circles when price makes new highs/lows but MFI fails to confirm — signaling potential turning points.
• Swing Confirmation Signals
Buy/Sell triangles appear when a recent exhaustion or divergence is followed by a re-entry into normal momentum range, confirming a likely swing reversal.
Frequency is automatically throttled to avoid multiple signals during one move.

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💡 How to Use
1. Use red/green blocks to identify strong momentum zones.
2. Watch for orange/blue exhaustions — they often mark late-trend fatigue.
3. A BUY▲ signal suggests bearish exhaustion followed by recovery momentum.
4. A SELL▼ signal suggests bullish exhaustion followed by declining momentum.
5. Combine with your trend filter (EMA/Bollinger) for confirmation.

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🧩 Best Settings
• MFI length: 14
• Upper / Lower bands: ±40
• Slope sensitivity: 1.5
• Signal lookback: 5
• Minimum gap between signals: 10 bars

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📊 Built For

Swing traders, momentum scalpers, and algorithmic strategists who need early exhaustion cues rather than lagging trend indicators.
Can be used on any asset or timeframe (works exceptionally well on 4H and Daily charts).

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✍️ Credits

Concept & logic refinement by @kkbst88
Based on original MFI/RSI work by LazyBear & SeiglerJ (open-source community).