Wick

CCI

Indicators II

Distance from normal

Commodity Channel Index measures how far price sits from its statistical average. Beyond ±100 = stretched; snap-backs and divergences are its bread and butter.

Check yourself

CCI at +180 says price is…

  1. At its average
  2. Unusually stretched above its mean correct
  3. About to gap

Far above normal = rubber band stretched. It can stretch further, but the tension is real.

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