synonymCCI(Technical analysis index of stock market) generally refers to homeopathy index
The homeopathic indicator is also called CCI indicator, and the CCI indicator is the U.STechnical analysis of stock marketIt was proposed by Donald Lambert in the 1980s to measure stock price, foreign exchange orPrecious metal transactionWhether it has exceededNormal distributionRange.belong toOverbought and oversoldIt is a special kind of class indicator.Fluctuate in positiveInfinityAnd negative infinity.However, 0 is not requiredCentral axisThis is also different from the index that fluctuates at positive infinity and negative infinity.
It has its own unique features compared with other overbought and oversold indicators.Like KDJW%RMost of the overbought and oversold indicators have a "0-100" upper and lower limit. Therefore, they are more applicable to the research and judgment of the general normal market, and may occur when the price of stocks rises and falls sharply in a short period of timeIndex passivationPhenomenon.However, the CCI index fluctuates from positive infinity to negative infinity, so there will be no indexPassivation phenomenonIn this way, investors can better study and judge the market, especially those abnormal markets that rise and fall sharply in a short period of time.
AndMACD、RSI、KDJCCI is also one of the most common reference indicators for technical analysis.
CCI index is used to measure whether the stock price has exceededNormal distributionScope ofOverbought and oversoldA special kind of class index, which fluctuates between positive infinity and negative infinity, but it is not necessary to use 0Central axisThis is also different from the index that fluctuates between positive infinity and negative infinity.CCI mainly measures the price that is out of the normal rangeVariability, also applicable toFutures commodityAnd share price.Among the commonly used technical analysis indicators, CCI (homeopathic indicator) is the most peculiar one.The CCI index is not limited by the operation areaPositive infinityandNegative infinityBut, and all others are not runningRegional restrictionsThe index of is different. It has a relative technical reference area:+100 and - 100.According to the common idea of indicator analysis, the operation range of CCI indicators can also be divided into three categories: overbought areas above+100, overbought areas below - 100, and shock areas between+100 and - 100. However, the technical meaning of the operation of this indicator in these three areas is different from the definition of overbought and oversold of other technical indicators.First of all, in the shock area between+100 and - 100, this indicator is basically meaningless and cannot provide many specific suggestions for the operation of the market and individual stocks, so it is invalid under normal circumstances.This also reflects the characteristics of this indicator - the CCI indicator is specially designed for extreme situations, that is, under normal market conditions, the CCI indicator will not work. When the CCI scans the abnormal stock price fluctuations, it is required to make a quick decision. The victory or defeat will be immediately known, and the gamble must be ended immediately.
Indicator Usage
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1. When the CCI index curve is in the normal range of+100 lines to - 100 linesRuntimeCCI index is of little reference significance, KDJ and other indicators can be usedTechnical indicatorsConduct research and judgment.
2. When the CCI index curve breaks through the+100 line from top to bottomreenterNormal interval indicatesmarket priceThe rising phase ofShock finishingStage, should be short in time.
3. When the CCI index curve breaks through the - 100 line from top to bottom and enters another abnormal interval (oversold area), it indicates that the weak state of market price has been formed and will enter a relatively long bottoming process. You can hold empty orders and wait for higher profits.If the CCI index curve starts to turn upward after running in the oversold area for a long time, it indicates that the short-term bottom of the price is preliminarily proved and a small amount of positions can be built.The longer the CCI indicator curve runs in the oversold area, confirm the short-term bottomAccuracyThe higher.
4. When the CCI index curve breaks through the - 100 line from bottom to top and enters the normal range again, it indicates that the bottoming stage of the market price may be over, and it may enter a consolidation stage, and you can bargain for a small amount of long.
5. CCI index curve breaks through the+100 line from bottom to top and enters the abnormal interval（overbought ）It indicates that the market price has broken away from the normal state and entered a strong state. If it is accompanied by large market transactions, the success rate of timely intervention will be great.
6. After the CCI index curve breaks through the+100 line from bottom to top and enters the abnormal range (overbought zone), as long as the CCI index curve runs upward, it indicates that the price remains strong and can continue to be held for inflation.However, if it starts to turn down at a place far away from the+100 line, it indicates that the strong state of the market price may be difficult to maintain, and the rising trend may weaken, so selling should be considered.If the short-termIncreaseIf the price is too high and the trading is active when the price drops, you should sell or short decisively when the price rises.
CCI mainly focuses onOverboughtIt works with oversold areas and is relatively accurate in detecting the sharp rise and fall of the market.It is very suitable for short-term operations in stock, foreign exchange, precious metals and other markets.[1]
Shape of CCI curve
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Various forms of CCI curve are also used to judge the market trend and determineTrading opportunityAn analytical method of.
1. When the CCI curve is far from the high position above the+100 line, if the trend of the CCI curve is formedM headOr triple topReversal Patterns , which may indicate that the stock price is turning from strong to weak, and the stock price is about to fall sharply. You should sell the stock in time.If the curve of the stock price also has the same shape, it is more identifiableDeclineM head or triple jack can be usedMorphological theoryTo study and judge.
2. When the CCI curve is far from the low position below the - 100 line, if the trend of the CCI curve reaches the bottom W orTriple bottomSuch bottom reversal patterns may indicate that the stock price will turn from weak to strong, and the stock price is about to rebound upward, so you can buy a small amount of stocks on bargain hunting.If the stock price curve also appears in the same form, it is more confirmableIncreaseWe can use the W bottom or triple bottom shape theory to study and judge.
3. In the form of CCI curveaccuracyIt shall be larger than W bottom and triple bottom.[2]
computing method
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The homeopathic indicator CCI also includes daily, weekly, annual and minute CCI indicators.The daily and weekly CCI indicators are often used for stock market research and judgment.Although their values are different in calculation, the basic method is the same.
Taking daily CCI calculation as an example, there are two calculation methods.
MD=recent N days (MA - closing price)absolute valueCumulative sum of ÷ N
0.015 is the calculation coefficient, N is the calculation period
The second calculation method is described asMid priceThe difference from the N day moving average of the mid price divided by 0.015 * N day average of the mid priceAbsolute deviation
Homeopathic index
Where, the middle price is the sum of the highest price, lowest price and closing price divided by 3
The mean absolute deviation is a statistical function
It can be seen from the above calculation process that the calculation of CCI indicators is more complex than other technical analysis indicators.becauseTechnical analysis of stock marketWith the popularity of the software, investors do not need to calculate the CCI value, mainly through the understanding of the calculation method of the CCI index, and more skillfully use it to study and judgeStock market。[3]
Overbought and oversold
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Overbought and oversold indexAs the name implies, "overbought" means that the number of people who buy shares has exceeded a certain proportion of the buyer's ability.Then, according to "antiMass psychology”, you should sell the stock in reverse."Oversold" means that the seller oversold the shares. When the number of people selling shares exceeds a certain proportion, they should buy shares instead.This is the anti market and anti mass theory that is often most valued in the normal market.However, if the market is unusually strong, thenOverboughtThe oversold indicator will suddenly lose its direction, and the market keeps moving forward. The masses seem to have lost control. CCI indicators provide different views on the disorder of stock prices.
According to the principle of wave theory, the stock price moves forward in five waves.At the end of the fifth wave, whether in the rising wave or the falling wave, the market fluctuation is the fiercest and fiercest. The masses are irrational and crazy, and the stock price is in a very short period of time,accelerationComplete the maximum fluctuation.
Some investors want to buy and sell stocks within the safest range.But for some investors who are more adventurous and gambled, they would rather choosehigh-riskIn this environment, we will step into the market with fast speed and large profits.This kind of market often turns two eyes at a time. You should bet quickly and escape quickly.It can make people feel happy gambling, and give investors with strong gambling a sense of joy.
If the range is 0~100Overbought and oversold index, specially designed for normal market.Then, CCI indicators are specially designed to deal with extreme market conditions.In other words, under normal market conditions, CCI indicators will not work.When CCI scans for abnormalityStock price fluctuationAt that time, the fighter plane immediately flew into the air to fight, and immediately sought a quick decision. The victory or defeat was immediately known. If you lost the bet, you must immediately speed up your escape.[4]
CCI index research and judgment
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CCI indicators have a unique function in studying and judging the trend of abnormal market.Its general analysis methods mainly focus on the division of CCI interval and the judgment of CCI interval.
basic
1. When the CCI curve breaks through the+100 line upward and enters the abnormal range, it indicates that the stock price has begun to enter a strong state, and investors should buy stocks in a timely manner.
2. When the CCI curve breaks through the+100 line upward and enters the abnormal range, as long as the CCI curve runs upward, it indicates that the stock price is still strong, and investors can hold shares all the way up.
3. When the CCI curve is in the abnormal interval above the+100 line and starts to turn down at a place far away from the+100 line, it indicates that the strong state of the stock price will be difficult to maintain, which is a strong turning signal of the stock price.If the short-term increase in the previous period is too high, it can be confirmed.At this time, investors should sell stocks at high prices in time.
4. When the CCI curve is in the abnormal range above the+100 line and drops all the way away from the+100 line, it indicates that the strong state of stock prices has ended, and investors should also mainly sell stocks at high prices.
5. When the CCI curve breaks through the - 100 line downward and enters another abnormal range, it indicates that the weak state of the stock price has been formed, and investors shouldhold out Mainly.
6. When the CCI curve breaks through the - 100 line downward and enters another abnormal range, as long as the CCI curve runs downward all the way, it indicates that the stock price is still weak, and investors can wait and see all the way.
7. When the CCI curve breaks through the - 100 line downward and enters another abnormal range, if the CCI curve turns upward after running in the oversold area for a long time, it indicates that the short-term bottom of the stock price is initially found, and investors can build a small amount of positions.The longer the CCI curve runs in the oversold area, the more it can confirm the short-term bottom.
8. When the CCI index runs in the normal range of+100 line - - 100 line, investors can use KDJ, William and other indicatorsOverbought and oversold indexConduct research and judgment.
deviation
The deviation of CCI index means that the curve trend of CCI index coincides with the stock priceK-line diagramThe trend of is just opposite.The deviation of CCI indicators is divided into top deviation andBottom deviationTwo.
macd
When the CCI curve is at a high point far away from the+100 line, but after it reaches a new high, the CCI curve instead forms a peak to peak low trend. At this time, the stock price on the K line chart again reaches a new high, forming a peak to peak high trend, which is top deviation.Top deviation is generally a signal that the stock price is about to reverse at a high level, indicating that the stock price is about to fall in a short termSell signal。
In the actual trend, the top deviation of the CCI index means that when the stock price enters the process of rising, it first sets a high point, and the CCI index correspondingly sets a new high point above the+100 line. After that, there is a certain range of downward adjustment of the stock price, and the CCI curve is also adjusted with the downward trend of the stock price.However, if the stock price rises again and exceeds the previous high to create a new high, and the CCI curve also rises with the rise of the stock price but starts to fall back without breaking the previous high, this will form the top deviation of the CCI index.After the top deviation of CCI index occurs, the stock price is more likely to peak and fall back, which is a strong selling signal.
Bottom deviation
The bottom deviation of CCI generally occurs in the low position area far away from the - 100 line.When the stock price on the K line chart drops all the way, forming a trend of wave by wave low, while the CCI curve is at the low point, it takes the leadStop falling and stabilizeAnd form a trend that the bottom is higher than the bottom, which is the bottom deviation.Bottom deviationGenerally indicates thatprice of stockIt may rebound in the short term, which is a sign of short-term buying.
When the stock price is at a high level and the CCI is far away from the+100 line, it can be considered that the stock price is about to reverse downward, and investors can sell stocks in time;When the stock price is at a low level and the CCI is far away from the low level area below the line 100, the bottom deviation can be confirmed only after several times of repeated bottom deviation, and investors can only do strategic position building orShort term investment。
Both the top deviation and the bottom deviation are far and near deviation. The deviation close to+100 is close to the top deviation, and the distance+100 is far from the top deviation.If the distance is - 100, it is a long distance from the bottom; if the distance is - 100, it is a short distance from the bottom.[3]
Parameter modification
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From the calculation method of CCI indicators, it can be seen that CCI indicators also take time as a parameter and form a parametercycle timesurethe said day, month or week, year, minute, etc., and these time periods are based onListing of sharesThe length of time and the choice of investors can theoretically take any length of time. In most mainstream stock market analysis software (such asQianlong, analysts), and most of the variation range of various time periods is limited to 1-99, such as 1-99 days, 1-99 weeks, etc.There are also some stock market analysis software whose parameter setting is expanded to the range of 1-999, but there are few software in this part. Therefore, the parameter setting of CCI indicators in this section is still limited to the range of 1-99.
From the practical application of CCI indicators, the time cycle parameter chosen by most investors is the day, and the use of daily CCI indicator parameters is mostly limited to a few parameters such as the 6th and 12th day.If the stock trend is analyzed according to these short-term time parameters, most of the changes in the CCI values are between - 100 and+100, and the fluctuation frequency is too complicated.Like other technical analysis indicators, it is not easy to use the CCI curve to accurately study and judge the market trend in such a narrow space. Therefore, investors should make full use of various short, medium and long term daily parameters provided by various stock market analysisK line、averageAnd other stock market theories.[2]
