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Symbol     LTP Chng%
JBFIND 253.00   + 12.27
BALKRISIND 1188.00   + 9.86
TTKPRESTIG 5870.55   + 4.66
MCDOWELL-N 2045.00   + 4.48
UPL 733.80   + 4.43
Symbol     LTP Chng%
DEEPAKFERT 268.00    -4.68
TV18BRDCST 36.70    -2.91
FORTIS 186.00    -2.82
IL&FSTRANS 113.35    -2.79
RELIANCE 1047.50    -2.67
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Commodity Channel Index (CCI)

Introduction

The Commodity Channel Index, first developed by Donald Lambert, quantifies the relationship between the asset's price, a moving average (MA) of the asset's price, and normal deviations (D) from that average.

The CCI is very popular amongst technical investors; today's traders often use the indicator to determine cyclical trends in not only commodities, but also equities and currencies.

Formula

CCI = (Typical Price - 20-period SMA of TP) / (0.015 * Mean Deviation)
Typical Price (TP) = (High + Low + Close)/3
Constant = .015

Advantage

CCI measures the difference between a security's price change and its average price change. High positive readings indicate that prices are well above their average, which is a show of strength. Low negative readings indicate that prices are well below their average, which is a show of weakness. The Commodity Channel Index (CCI) can be used as either a coincident or leading indicator.

Sample Calculation

Technical chart for CCI

Technical Indicators

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