Free CMT Association CMT-Level-II Exam Questions

Become CMT Association Certified with updated CMT-Level-II exam questions and correct answers

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Total 179 Questions | Updated On: Oct 27, 2025

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Question 1

Which of the following are true of the concepts of divergence and confirmation in technical analysis

A : They are opposite concepts

B : Confirmation has a valid technical interpretation but in the case of divergence, no valid conclusion can be drawn

C : Confirmation indicates a likely change in trend since all technical indicators are in agreement

D : Divergence indicates continuation in trend since different technical indicators do not agree

Answer: A

Question 2

Which of the following point and figure trading techniques limits risk compared to more basic trading rules?

A : Buy or sell as soon as a new column is created on the chart

B : Close out your trade on the second reversal back in the direction of the original signal

C : Take small consistent profits, but allow large, windfall profitable positions to run

D : Buy or sell on pullbacks after initial trade signal

Answer: D

Question 3

This chart type integrates volume directly into the price bar:

A : Equivolume

B : VWOP

C : Renko

D : Ichimoku Cloud

Answer: A

Question 4

Which of the following is NOT true in chart interpretation:

A : A price chart is a representation of human behavior

B : The goal is to find consistent, reliable and logical patterns

C : Chart patterns can be caused by commonly used trading techniques

D : The behavioral aspects of prices are irrational

Answer: D

Question 5

How might one detrend data to determine if a cycle exists?

A : Divide the current prices by a moving average of those prices

B : Create an oscillator that plots a standard deviation of the period lows

C : Apply volume weighting to both high and lows in the data

D : Plot a linear regression line through the data midpoin

Answer: A

Page: 1 / 36

Total 179 Questions | Updated On: Oct 27, 2025

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