Chande Momentum Oscillator Trading Indicator Trading Indicator Analysis and Signals
Developed by Tushar Chande
Chande Momentum Oscillator Trading Indicator Trading Indicator measures momentum of a currency pair.
This Indicator uses a scale ranging between +100 & -100 thus allowing the trader to clearly see changes in net momentum using the 0 level mark as a balance point.
Calculation
Chande momentum uses data for both up days & down days in the numerator, therefore directly measuring momentum.
The calculations are performed on un smoothed data. This allows for shortterm extreme market movements to be less hidden. However, smoothing can still be applied to the Oscillator.
Forex Analysis & How to Generate Signals
Buy Trade Signal
This Oscillator Trading Indicator measures the momentum of price.
Levels above Zeroline are considered to be bullish/buy signals.
The higher the indicator goes the higher the upwards price momentum.
Buy Trading Signal
Sell Trade Signal
Levels below Zero line are considered to be bearish/sell trade signals.
The lower the indicator goes the higher the downwards price momentum.
Sell Trade Signal
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