/**
* Chaikin Money Flow (CMF) Indicator
* Volume-weighted measure of accumulation/distribution
*/
export function calculateChaikinMF(highs, lows, closes, volumes, period = 21) {
if (highs.length < period || lows.length < period || closes.length < period || volumes.length < period) {
return {
cmf: null,
signal: null,
};
}
// Calculate Money Flow Multiplier and Money Flow Volume
const moneyFlowVolumes = [];
let totalVolume = 0;
for (let i = 0; i < closes.length; i++) {
const high = highs[i];
const low = lows[i];
const close = closes[i];
const volume = volumes[i] || 0;
// Avoid division by zero
if (high === low) {
moneyFlowVolumes.push(0);
}
else {
// Money Flow Multiplier = ((Close - Low) - (High - Close)) / (High - Low)
const moneyFlowMultiplier = ((close - low) - (high - close)) / (high - low);
const moneyFlowVolume = moneyFlowMultiplier * volume;
moneyFlowVolumes.push(moneyFlowVolume);
}
totalVolume += volume;
}
// Calculate CMF for the specified period
const startIdx = closes.length - period;
let sumMoneyFlowVolume = 0;
let sumVolume = 0;
for (let i = startIdx; i < closes.length; i++) {
sumMoneyFlowVolume += moneyFlowVolumes[i];
sumVolume += volumes[i] || 0;
}
if (sumVolume === 0) {
return {
cmf: null,
signal: null,
};
}
const cmf = sumMoneyFlowVolume / sumVolume;
// Determine signal
let signal = null;
if (cmf > 0.1)
signal = 'accumulation';
else if (cmf < -0.1)
signal = 'distribution';
else
signal = 'neutral';
return {
cmf,
signal,
};
}
