Chande Dynamic Momentum Index for Gold and Signals

Created by Tushar Chandes

The Chandes DMI indicator is like Welles Wilder's Relative Strength Index technical indicator, but there is one very important difference.

RSI sticks to a set number of price periods. The Chande Momentum Dynamic Index adjusts periods based on volatility.

The No. of price bars periods used by the Momentum Index technical indicator decreases as the price volatility increases. This allows the technical indicator to be more responsive to the price changes.

Chandes DMI beats RSI for accuracy, cuts fake signals, and smooths chop.

Gold Analysis and Generating Signals

Buy Signal

A buy signal gets generated when DMI crosses above the 50 level mark.

Buy Signal

Sell Trading Signal

A sell trading signal gets generated when DMI crosses below the 50 level mark.

Sell Signal

Learn More Topics and Courses:

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