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Chande Dynamic Momentum Index Stock Indices Technical Analysis and Chande DMI Stock Indices Signals

Developed by Tushar Chande


Chande DMI is similar to Welles Wilder’s Relative Strength Index, however, there is one very important difference.


RSI uses a fixed number of stock index price periods while the Chande Momentum Dynamic Index uses a variable amount of stock index price periods as market volatility changes.


The number of stock index price periods used by this Momentum Index decreases as market volatility increases. This allows the indicator to be more responsive to stock index price changes.


The Chande DMI is more accurate than the RSI, has less whipsaws and is less Choppy

Chande Dynamic Momentum Index



Stock Indices Technical Analysis and Generating Stock Indices Signals


Buy Stock Indices Signal

A buy Signal is generated when the DMI crosses above 50 level mark.

buy Signal generated Chande Dynamic Momentum

Buy Stock Indices Signal



Sell Stock Indices Signal

A sell Signal is generated when the DMI crosses below 50 level mark.

Sell Stock Indices Signal

Sell Stock Indices Signal