CMT Program CMT-Level-II Updated Exam

CMT Level II Exam Questions and Answers

Question 29

Which of the following is one of the disadvantages of computerized trading systems?

Trading decisions are less consistent

Most computerized systems are unprofitable in non-trending markets

Profit trades are exited too early

Computerized systems miss many market trends

Question 30

Which of the following is a CORRECT guideline in pyramiding trades positions?

Each successive layer should be larger than the prior layer

Take profits on winning positions

Add to losing positions, as a form of dollar cost averaging

Adjust protective stops to the breakeven point

Question 31

What of the following could be utilized in a computerized trading system to improve the performance of Wilder's Parabolic System?

Trend lines

Stops

Directional movement index

Average divergence index

Question 32

Which is the CORRECT interpretation of the candlestick umbrella pattern?

They can be bullish or bearish depending on the market

They are bearish after a rally

They are called hammers after a downtrend

All of the above