Description

• This indicator was developed by Roger Altma
• The Relative Momentum Index is based on the ratio of the average upward changes to the average downward changes over a given period of time

Interpretation

• Relative Momentum Index level below 30 indicates over-sold condition
• Relative Momentum Index level above 70 indicates over-bought condition

Default Parameters Used/Inputs

• Price Line
• ROC Bars
• RSI Bars
• Avg Type
• Avg Bars

Returns/Output

RMI values of the stock

Formula

Relative Momentum Index=RM/1+RM
where RM=average up momentum over period ‘n’/ average down momentum over period ‘n’