Chande Momentum Oscillator Analysis and Signals
Developed by Tushar Chande
Chande Momentum Oscillator 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, thereby directly measuring momentum.
The calculations are performed on un smoothed data. This allows for short-term extreme market movements to be less hidden. However, smoothing can still be applied to the Oscillator.
FX Analysis and How to Generate Signals
Buy Trade Signal
This Oscillator measures the momentum of price.
Levels above Zeroline are considered to be bullish/buy trading signals.
The higher the indicator goes the higher the upward price momentum.
Buy Signal
Sell Trading Signal
Levels below Zero line are considered to be bearish/sell signals.
The lower the indicator goes the higher the downward price momentum.
Sell Trading Signal
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Alternatives: Automated EA Trading Robots or Copy Paste Trading Signals
