CCI index is homeopathic index. CCI index was put forward by Donald Lambert in 1980s, which is a relatively novel technical index. It was first used to judge the futures market, and later used to judge the stock market, and was widely used. Different from most technical analysis indexes invented only by using the closing price, opening price, highest price or lowest price of a stock, CCI index is a unique technical analysis index, which introduces the concept of the average interval deviation between the price and the stock price in a fixed period and emphasizes the importance of the average absolute deviation of the stock price in the technical analysis of the stock market.

CCI index is a kind of overbought and oversold index, which is specially used to measure whether the stock price is beyond the normal distribution range, but it has its own uniqueness compared with other overbought and oversold indexes. Most overbought and oversold indicators, such as KDJ and WR%, have an upper and lower bound of "0- 100", so they are more suitable for judging the general normal market. However, for the stock price trend that has skyrocketed and plummeted in a short time, the indicators may be passivated. 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.

Buying and selling principle:

1. When the price of gold deviates, it is an obvious warning signal.

2. The constant fluctuation range is between positive and negative 100, with positive 100 as overbought signal and negative 100 as oversold signal.

3. Measure the variability outside the normal price range.