The Momentum Cross Trading Strategy

Creating the Momentum Cross Trading Strategy.

Sofien Kaabar, CFA
6 min readJun 8, 2022

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Crossing momentum might signify a paradigm shift. This can be seen as the equivalent of a moving average cross, only it uses a completely different method. The idea is to create two momentum Indicators different in periods, and then have a look at their cross as a signal that a new trend is emerging.

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The Momentum Indicator

The momentum indicator’s formula is extremely simple and can be summed up in the below mathematical representation:

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