CCI

CCI, or Commodity Channel Index, is a technical analysis tool used by traders to identify potential buy or sell opportunities in a market. It measures the difference between a security’s current price and its average price over a specified period, indicating whether an asset is overbought or oversold. When the CCI rises above a certain level, it suggests the asset may be overbought and due for a decline. Conversely, when it falls below a set threshold, it indicates the asset might be oversold and could rise. This helps traders make informed decisions about when to enter or exit trades.