Cmt level 1 questions - Study guides, Class notes & Summaries

CMT Level 1; Questions and Answers 100% Solved Define what is meant by a trend in technical analysis Correct answer - Uptrend is when prices reach higher peaks and higher troughs (VV for Downtrend) - Flat trend (sideways trend) is when a price trades in a range without significant underlying upward or downward movement Explain why determining the trend is important to analysts Correct answer o From a technical analysts perspective "a trend is a directional movement of prices that remai...

CMT Level 1; Questions and Answers 100% Solved DeMark or Williams Method Correct answer Reversal point where at a bottom there are two bars with higher lows on each side and at a top there are two bars with lower highs on each side. Gann 2 Day Swing Correct answer A reversal point where a low or high bar is identified and if the two following trading days have higher highs than the low bar and two lower lows than the high bar than you have a support or resistance point. Donchian Break...

CMT Level 1; Questions and Answers 100% Solved Technical Analysis Basic Principles Correct answer Trend is your fried Don't lose = control risk of capital loss Manage your money = Avoid Ruin Charles Dow = founder Uptrend Correct answer Prices reach higher peaks and the troughs are also higher. Downtrend is the opposite. Trend Correct answer directional movement of prices that remains in effect long enough to be identified and still be profitable Supply and Demand Correct answer key f...

CMT Level 1 Questions & Answers 2023

CMT Level 1; Questions and Answers 100% Solved What is the Elliot Wave Principle? Correct answer It is a concept that breaks down trends into 8 core waves. In the first sequence, there is the basic 5-wave (motive) pattern that moves the market, then there is the corrective sequence, which are 3-wave corrective patterns that pulls back from the motive wave. Elliot waves are fractal in nature and follow a series of strict rules. What are the different types of Motive Waves? Correct answe...

What are the basic tenets of Dow Theory -ANSWER 1.) The averages discount everything 2.) The market has three trends 3.) Major trends have three phases 4.) The averages must confirme each other 5.) Volume must confirm trend 6.) A trend is in effect until it gives definitive signals that it has reversed Technical Analysis by Kirkpatrick -ANSWER The study of prices in freely traded markets with the intent of making profitable trading or investment decisions. -Kirkpatrick Basic Assumpt...

MTA CMT Level 1; Questions and Answers 100% Solved What are the basic tenets of Dow Theory Correct answer 1.) The averages discount everything 2.) The market has three trends 3.) Major trends have three phases 4.) The averages must confirme each other 5.) Volume must confirm trend 6.) A trend is in effect until it gives definitive signals that it has reversed Technical Analysis by Kirkpatrick Correct answer The study of prices in freely traded markets with the intent of making profita...

CMT Level 1 (Questions & Answers) Solved 100% Correct!!

CMT Level 1 Practice Exam Questions and Answers 100% Solved In constructing a point and Figure chart, a new entry is added only when? Correct answer Price has moved equal to or more than the specified box size When the Stochastic indicator crosses below 20, it is signaling? Correct answer The price is vulnerable to a reversal, but no action needs to be taken just yet. What principle describes a characteristic of related cycles Correct answer Harmonics What formation is often called a c...

CMT LEVEL 1 - SAMPLE QUESTIONS AND ANSWERS