COMMODITY CHANNEL INDEX - CCI

Oscillator used in technical analysis demonstrating cyclical patterns in commodities. It helps in determining the period an investment vehicle was overbought and oversold. Introduced by Donald Lambert, the index determines the relationship between the asset’s price, its moving average, and normal deviations from that mean. If the value is higher than +100, the security may be moving upward but the value lower than -100 denotes a sell signal.