Introduction to the CMO Smoothed Indicator
The CMO Smoothed indicator is based on Chande Momentum Oscillator but it uses smoothed price for its formula calculations.
It is an oscillator so the signal line moves between overbought (50) and oversold (-50) levels.
Usually, when the price is overbought – you should be looking for sell opportunities. Similarly, when the price is oversold – you should be looking for buy opportunities.
As an addition, you will find buy/sell arrows displayed on the chart.
It fits all kinds of timeframes and currency pairs.
The indicator is displayed in a separate window placed just below the main trading chart.
The default settings can be modified directly from the input tab. Feel free to experiment with the settings and parameters to fit your personal preferences.
How to set up the CMO Smoothed indicator in MT4?
Copy and paste the cmo-smoothed-indicator.ex4 or cmo-smoothed-indicator.mq4 indicator files into the MQL4 folder of the Metatrader 4 trading platform.
You can gain access to this folder by clicking the top menu options, which goes as follows:
File > Open Data Folder > MQL4 > Indicators (paste here).
Now go to the left side of your MT4 terminal. In the Navigator find the gauge name, right-click it and select Attach to the chart.
The CMO Smoothed indicator is well worth adding to your trading collection but remember about having realistic expectations. Just like any other technical analysis tool, is not capable of providing accurate signals 100% of the time. Thus, this forex indicator provides false signals occasionally. Its performance will vary significantly depending on market conditions. Feel free to develop your own trading system based around it.
CMO Smoothed Indicator Free Download
To download the CMO Smoothed Indicator for Metatrader 4 (MT4) for free just click the button below: