TypeOnline Course
DateJan 1, 2020
Students Enrolled376
(11 ratings)
Price$595
Buy Now

Thanks for taking the time to investigate our CMT2 Preparation course and congratulations on making the decision to pursue the CMT designation. The designation really is a badge of honour that will set you apart from other Financial Analysts.

Only 56% of Level 2 candidates passed the exam in previous years. This is a hard exam and much harder than CMT1.

To assist candidates with the CMT2 exam, we are providing a full video course on all of the material that you need to know for the exam. Each week is broken up into modules. Module videos range from 15-60 minutes depending on the complexity and length of the topics being covered. You can see an outline of the sessions at the bottom of this page.

Do I need to read the book?
Yes, this course is a supplement to the book. Remember that the exam is based on the textbook, so you should read it carefully. This course is not a replacement for your own study. You’ll see this in our introduction video below, but we recommend that you read the chapter before watching the corresponding video. That way you will have questions that the video will be able to answer straight away.

If you have not yet purchased the book, make sure you get the eBook, it makes searching easy and you are going to need to be able to search. You can get the eBook from Wylie here.

With regards to the Optuma course would definitely like to state that the course has helped me immensely in preparing for the exams. The Optuma practice exams too were designed in a manner that gave me the virtual feeling of having actually gone through the CMT exams. I would like to congratulate and also thank you for putting in the very best at your end in preparing the students for this tough exam, and also for responding patiently to all our queries and doubts.

The Optuma course has definitely helped me to attempt this exam with more confidence and also be well prepared. Not having subscribed to this course would be like wandering in the dark.

Floyd L, India

 

How is the course delivered?
We have over 17 hours of videos and over 500 pages of slides that we produced for the course. You will have immediate access to all this plus the glossaries and cheat sheets that we have compiled. The best way to see how the course is presented, and all that we offer you, is to have a look at the introduction video. At the bottom of this page, click on “Free Preview” next to the Introduction in the course outline.

Do I have to take notes?
Yes! After teaching hundreds of students at all three levels of these exams, we now believe that it is the difference between success and failure for most people. If you approach this as if you were at University, think of us presenting the information and you taking notes as we go. There is a lot of education research that shows that students that write their own notes—by hand— will retain the information and perform better in the exam. Our slides and videos are available to you, but to get maximum benefit from the material, write your own notes.

I don’t believe I would have had a chance to pass Level II if I had only used the Wiley book and questions bank. The Optuma videos and all three practice tests are what made all the difference. I can’t imagine not using Optuma again for Level III.

Ryan R, TX, USA

Do I need to install Optuma to do the course?
No. We offer free access to Optuma for all CMT candidates. We also make available Optuma workbooks (that’s how we store analysis in Optuma) so that you can get some hands-on experience with the different ideas. It’s no secret that we’re a software company and we sell software. We’d love you to install Optuma and see all the benefits it can give you, but it is not required to take the prep course.

What if I have questions or don’t understand something?
We have a special private forum set up at forum.optuma.com where you can ask questions. When you sign up for the course, you’ll be able to login there and get access to the private forum. We’ll be monitoring that daily and will respond with answers to questions there.

 

I just took my Level 2 test yesterday and passed it.  It was so hard and I couldn’t believe I did, but I couldn’t have done it without your course.  Thanks so much! I’ll definitely be signing up for Level III.

Brad L, CA, USA

We know that the course and support will be a great aid as you prepare for this exam. If you want to sign up and get instant access to the material, just click on “Buy The Course” at the top-right of this page. If you were sent, or already have, an Optuma username and password, please ensure that you use those details when you sign up. It will save you from entering your information twice.

I wish you all the best with your studies and look forward to you joining us as we prepare for these exams.

Mathew Verdouw, CMT, CFTe
CEO
Optuma

Section 1Introduction and Change Log
Lecture 1IntroductionFree Preview

Introduction

In this first session, we go over a quick introduction to the Optuma CMT2 course.

Notes

The following is a copy of the slides used in the video.

View Notes

Exam Breakup

This is the breakup of all the questions in the exam. It is important that you make sure that you don’t spend too much time on an area that is not examined too much.

Lecture 2Change LogFree Preview

Change Log

Below you will find a log of all changes that have been made during the course of you having access to this course. Please check back here occasionally to see if we have made any changes or updates to the material.

Date Explanation Link
November 2, 2020 Updated Candles PDF to update images for Three Inside Up/Down, Three Black Crows, and Three White Soldiers View Page
November 2, 2020 Updated Short-Term Patterns PDF to update images for Three Inside Up/Down, Three Black Crows, and Three White Soldiers View Page
October 21, 2020 Updated Short-Term Patterns PDF to reflect error in Morning/Evening Star and Three Inside Up/Down labeling of Top and Bottom View Page
September 12, 2020 Added Prometric “What to Expect” video to the Exam Review page. View Page
August 31, 2020 Added new section for new Systematic Volume and Breadth Learning Objective View Page
July 1, 2019 Moved Practice Exams to their own Course. View Page
Lecture 3Chapter List
Section 2Section I: Chart Development & Analysis
Lecture 41. ChartingFree Preview

1. Charting

In this first session, we quickly review the first chapter of the book “Charting”. The chapter is really a summary of what was learned in CMT1. If you need to have a refresher, we have included videos from our CMT1 course below.

You will need to know the following:

  • Explain the six basic tenets of Dow Theory.
  • Diagram the three phases of bull and bear markets.
  • Differentiate between primary, secondary, and minor trends.
  • Examine a chart for support & resistance.
  • Demonstrate the use of trendlines in identifying trends, support & resistance, and channels.
  • Interpret trend signals using trendlines.
  • Compare different types of gaps and their significance.
  • Contrast various continuation patterns and reversal patterns.
  • Draw examples of various top formations and bottom formations.
  • Apply price objectives to various chart patterns and trend breakouts.
  • Interpret candlestick formations for signals.

 

Notes

There are no Notes for this module.

Workbook

There is no Optuma workbook for this module.


Refresher Material

As CMT2 builds on the knowledge of CMT1, we are including here several videos that you can reference if you need a refresher on the material.

Charts

In this module we focus on the various forms of charts that we need to know about as Technical Analysts. You will need to be able to:

  • Interpret a chart data using various chart types (line, bar, candle, etc).

 

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

There is no Optuma workbook for this module.

Trends

In this module, we focus on the Trends, Trend Tools and Support and Resistance. Identifying a change in trend is the primary objective of a Technical Analyst.

You will need to be able to:

  • Classify a given trend as primary, secondary, or minor fluctuations.
  • Compare and explain trend signals over multiple time frames.
  • Draw valid trend lines.
  • Interpret the significance of trend line breaks.

 

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

There is no Optuma workbook for this module.

Dow Theory

In this module, we step back to look at the “Father of Technical Analysis” Charles Dow.

You will need to be able to:

  • Explain the six basic tenants of Dow Theory.

 

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 52. Moving Averages
Lecture 63. Time-Based Trend Calculations
Lecture 74 & 5. Trend Systems
Lecture 86. Momentum & Oscillators
Lecture 97. Volume, Open InterestFree Preview

7. Volume and Open Interest

Volume is so important in Technical Analysis. In this session, we dig in further to look at what messages we can glean from changes in volume and also we take a look at Futures’ Open Interest and what we can learn from that.

You will need to be able to:

  • Use standard interpretation of volume and open interest in the context of price trends in stocks and futures.
  • Compare various volume indicators such as On-Balance Volume, Accumulation Distribution, and VWAP.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 107. BreadthFree Preview

7. Breadth

In this shorter session, we introduce the concept of market breadth and take a look at the common breadth indicators.

You will need to be able to:

  • Analyse changes in breadth in the context of price trends.
  • Interpret breadth indicators such as the McClellan Oscillator.
  • Interpret indicators that combine breadth with volume such as Arms Index and Thrust Oscillator.
  • Examine approaches to incorporating volume and breadth into systematic methods. *New in 2020*

 

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 117. Systematic Interpretation of Volume & BreadthFree Preview

7. Systematic Interpretation of Volume & Breadth

This session is to cover a new learning objective for 2020.

Learning Objective:

  • Examine approaches to incorporating volume and breadth into systematic methods. *New in 2020*

 

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 128. Bar Chart PatternsFree Preview

8. Bar Chart Patterns

You will need to be able to:

  • Critique the controversy over whether tradeable patterns exist in technical analysis.
  • Discuss the influence that computer technology has had on the study of patterns.
  • Diagram classic chart patterns such as triangles, and double and triple tops and bottoms.
  • Draw rounding chart patterns such as head-and-shoulders.
  • Illustrate “half-mast” chart patterns such as flags and pennants.
  • Demonstrate methods for determining price objectives from patterns.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 139. Short-Term PatternsFree Preview

9. Short-Term Patterns

You will need to be able to:

  • Analyse reversals in longer-term trends using short-term price patterns.
  • Interpret the significance of various types of gaps that occur on price charts.
  • Compare and analyze wide-range and narrow-range bars and their implications for volatility.
  • Diagram one- and two-bar reversal patterns.
  • Draw common candlestick patterns and analyze their significance within a trend.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 1410. Single Candle Lines, 11. Multi-Candle Patterns & 12. Forecasting & Trading TechniquesFree Preview

10. Single Candle Lines, 11. Multi-Candle Patterns & 12. Forecasting and Trading Techniques

You will need to be able to:

  • Interpret market psychology from candle shapes. (10)
  • Diagram and interpret notable individual candles: hammer, hanging man, doji and others in this chapter. (10)
  • Demonstrate the importance of such candles in the context of trends. (10)
  • Differentiate between the buying and selling activity represented by real bodies and shadows in these candles. (10)
  • Diagram and interpret notable patterns formed by multiple candles: engulfing, stars, windows and others in this chapter. (11)
  • Demonstrate the importance of the prevailing trend when interpreting candle patterns. (11)
  • Differentiate between the buying and selling activity represented by real bodies and shadows in these candle patterns. (11)
  • Identify candle patterns for support and resistance. (11)
  • Analyse candle patterns on charts for indications of trend reversal and continuation. (12)
  • Interpret candle patterns for support and resistance indications and confirmation. (12)
  • Illustrate how to combine Western technical indicators with candles. (12)
  • Employ candlestick analysis for risk management. (12)
  • Demonstrate using candles in multiple time frames. (12)

NOTE: In this video we accidentally reversed the labels on the Harami Cross and Harami candles. It is correct in the notes.
ERROR – Sep 24, 218: In this video I mention that a Candlestick Window can have intersection shadows. This is not right (it was old teaching). A window can not have intersecting shadows. The notes did not have this error so there is no update to them.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

There is no Optuma workbook for this module.


CMT 1 – 10. Candlestick Charting Essentials

You should know the following:

  • Identify strengths and limitations of candle charts
  • Identify the components of individual candle lines such as real bodies and shadows
  • Expalin how candles depict the high, low, open, and close of a trading period
  • Identify candle confirmations of support and resistance
  • Identify candle patterns that provide potential reversal signals

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

There is no Optuma workbook for this module.

Lecture 1513. Concepts in Cycle Theory
Lecture 1614. Applied Cycle Analysis
Section 3Section II: Volatility Measures in Today's Financial Markets
Lecture 1715. OptionsFree Preview

15. Options

You will need to be able to:

  • Explain the purpose of options markets.
  • List the major terms of an option contract.
  • Describe “the Greeks”.
  • Define implied volatility.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

There is no Optuma workbook for this module.

Lecture 1816. Understanding Implied VolatilityFree Preview

16. Understanding Implied Volatility

You will need to be able to:

  • Contrast historical and implied volatility when used in price analysis and forecasting.
  • Interpret implied volatility as the market’s estimate of possible future asset prices.
  • Calculate single-day implied volatility.
  • List the inputs to an option pricing model.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

A copy of Optuma is required to open the workbook files included in this course. If you have not already done so you can download and install your free trial here. You can use the same login details as those used to access this course.

Note: If you are an Apple Mac user please click here for information on running Optuma.

Download Workbook
Lecture 1917. About the VIX IndexFree Preview

17. About the VIX Index

You will need to be able to:

  • Explain how the VIX is impacted by put-call parity and options supply.
  • Interpret the VIX as an indication of market sentiment.
  • Interpret changes in the VIX as part of a market forecast.
  • Calculate expected 30-day movement of an index or a stock.

Notes

The following is a copy of the slides used in the video.

View Notes

Workbook

There is no Optuma workbook for this module.

Section 4Section III: Topics in Behavioral Finance
Lecture 2018. Prospect Theory, 19. Perception Bias & 20. Inertial Effects
Lecture 2121 & 22. Analyzing Sentiment in the Stock & Derivatives Markets
Section 5Section IV: Statistical Applications for Technical Analysts
Lecture 2223. Inferential Statistics
Lecture 2324. Correlation
Lecture 2425. Regression
Lecture 2526. Regression Analysis
Section 6Section V: Technical Methods & Market Selection
Lecture 2627. Selection of Markets & Issues & 29. Relative Strength Strategies for Investing
Lecture 2728. Intermarket Analysis
Lecture 2830. A Stock Market Model
Lecture 2931. A Simple Model for Bonds
Lecture 3032. Perspectives on Active & Passive Money Management
Section 7Section VI: Designing & Testing Technical Trading Systems
Lecture 3133. The Statistics of Backtesting
Lecture 3234. The Scientific Method & Technical Analysts
Lecture 3335. Theories of Nonrandom Price Motion
Lecture 3436. Case Study of Rule Data Mining for the S&P 500
Lecture 3537. System Design & Testing
Section 8EthicsFree Preview

Ethics Review

Michael Carr, CMT, the Chairman of the MTA Ethics committee has put together some slides and a great explanation of what you need to know about Ethics for the exam.

Here is a PDF of the slides used in the video below.

Download Ethics Slides

NOTE: The study guide link on the last slide is no longer valid. You can find the study guide here.
https://www.cfainstitute.org/-/media/documents/code/code-ethics-standards/ethics-in-practice-casebook-1st-ed.ashx

Section 9Exam Review
Lecture 37Exam ReviewFree Preview

Exam Review

Notes

The following is a copy of the slides used in the video.

View Notes

What to Expect at Prometric

Prometric has made this video available which outlines what you can expect on exam day. In particular, it outlines the extra safety requirements during the Covid-19 pandemic.

Workbook

There is no Optuma workbook for this module.

Lecture 38Practice Exams
Section 10Bonus Material
Lecture 39Glossary & Indicator List
Lecture 40Forum FAQs