TRADING MANUAL - Chande Momentum Oscillator, How to Use It and Free to Download
Developed by Tushar Chande
The Chande Momentum Oscillator Indicator measures momentum of a currency pair. This Indicator uses a scale ranging between +100 and -100 thus allowing the trader to clearly see changes in net momentum using the 0 level mark as a balance point.
Calculation
This Indicator uses data for both up days and down days in the numerator, thereby directly measuring momentum. The calculations are performed on unsmoothed data. This allows for
short-term extreme movements to be less hidden. However, smoothing can
still be applied to the Oscillator.
Technical Analysis of Chande Oscillator Momentum Indicator
Buy Signal
This Oscillator Indicator measures the momentum of price. Levels above Zero line are considered to be bullish/buy signals. The higher the indicator goes the higher the upward price momentum.
Sell Signal
Levels below Zero line are considered to be bearish/buy signals. The lower the indicator goes the higher the downward price momentum.
Free to Download
