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Combined Market Internals (CMI)

The Combined Market Internals (CMI) Indicator is designed to identify the market trends and trend-shifts using market internals. CMI Indicator uses market internals like $ADV, $DECL, $TICK, $TRIN, $ESINX, XLF and SPY to compute the composite trend. CMI plots trends only in Regular Market Hours (9.30am - 4.15 pm ET). CMI plots a Histogram in Bullish or Bearish Colors to convey the market direction on a chart. The trend changes can be also alerted via voice. CMI's companion indicator suri.CMIRibbon shows the internal trends while plotting a combination of the trends and a Combined Trend (at the bottom) in the same graph. Both Indicators have voice alerts (for change of Trends).

How I Use CMI

Picking tops and bottoms is usually a losing proposition for most traders. I remember doing that with pride (false) of my ability to pick tops/bottomsearly in my career. Most wise analysts always say, Market Internals give a Top or Bottom signal far before any of the underlying trading instruments signals. Well, so how do we find which Market Internals and what are these signals? I use CMI (Combined Market Internals) as my key Market Indicator. It uses 6 Market Breadth instruments and an arbitrage ($ESINX) to compute a complex Mathematical equation to derive a single Market Direction and plot it as a Histogram. I follow this CMI direction as a key resource for my pattern trading. I do not follow any other internals as I think the components I selected for CMI have a great significance in aiding me with finding the market direction. CMI extremes as signal for Market Tops/Bottoms. Remember my consideration for Market Top or Bottom is on a 5m CMI chart.

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FULL Disclaimer/Terms & Conditions

DISCLAIMER: THE RISK OF LOSS IN INVESTING STOCKS, FUTURES, OPTIONS, FOREX OR COMMODITIES CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHER SUCH INVESTMENTS ARE SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION, YOUR INVESTMENT EXPERIENCE AND OBJECTIVES, FINANCIAL RESOURCES AND OTHER RELEVANT CIRCUMSTANCES. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS, AND LOSSES ARE ALWAYS POSSIBLE. THE STRATEGIES OR TRADE SETUPS MENTIONED HEREIN SHOULD NOT BE CONSTRUED AS CONSERVATIVE STRATEGIES BUT RATHER SPECULATIVE AND FOR SHORT-TERM TRADING PURPOSES ONLY. THERE IS EQUAL OR GREATER POTENTIAL FOR LOSS WHILE USING THIS STRATEGY AND TRADE SETUPS.

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