I think it's ok. I'm not sure if it's the accepted norm or something but I always prefer smudge tags that are primarily one direction smudging and that blend parts of the render into it. The lines on the renders outline and cutting over it are kind of nice however.
I think the colors you used are absolutely fantastic to go with that render, awesome job on that I think I've seen your smudging technique in a tag from another thread, and I also think that's pretty cool. From here I think you should work on creating a more definitive flow, as your tag does appear give off a faint beam of chaos. And I think it's very safe to say you're getting better at smudging. Nice work Evil.