CMO

Chande Momentum Oscillator

CMO is a modified RSI and its use is also very similar to that of RSI.

INTERPRETATION:

Values under -50 indicate oversold condition and values over 50 indicate overbought condition. But don't enter trade just because security is oversold or overbought.

• Buy when CMO bottoms and then turns up.
• Sell when CMO peaks and then turns down.