Market Facilitation Index

The Market Facilitation Index, created by Bill Williams, represents the dynamics of volume and price movement. In technical analysis the absolute values of the indicator are not significant, what’s important is the changes in the indicator.

 

Market Facilitation Index formula is:
BWMFI:= (High - Close) / Volume

 

Methods of use:

1.When BWMFI and volume increase, this means that the market becomes more volatile and a new trend is likely to start.
2.When BWMFI and volume decrease, the market becomes steady.

 

BWMFI_ind