CCI, also known as homeopathic index, is a special indicator to measure whether stock prices, foreign exchange or precious metal transactions have exceeded the normal distribution range. It was first used to judge the futures market, and later used to judge the stock market, and was widely used. CCI index was put forward by Donald Lambert, a technical analyst in American stock market in 1980s.

Introduction to CCI

CCI is a special indicator of overbought and oversold. The fluctuation is between positive infinity and negative infinity, but it does not need to take 0 as the central axis, which is also different from the indicators of positive infinity and negative infinity.

CCI index is a unique technical index, which introduces the concept of deviation between price and average interval of stock price in a certain period, and emphasizes the importance of average absolute deviation of stock price in technical analysis of stock market.

However, CCI index fluctuates between positive infinity and negative infinity, so there will be no passivation of the index, which will help investors to better judge the market, especially those abnormal markets with short-term ups and downs.