DUAL Commodity Channel Index - DCCI

DEFINITION of 'DUAL Commodity Channel Index - DCCI'

A method used in technical analysis to identify when an asset or market is overbought or oversold. DCCI is employed by graphing a smoothed Commodity Channel Index (CCI) line along with an unsmoothed one. Crossovers of the two lines indicate possible buy and sell signals, while subsequent breaks in the price trendline are then seen as definite entry and exit points.

BREAKING DOWN 'DUAL Commodity Channel Index - DCCI'

The CCI was introduced by Donald Lambert in 1980, and has grown in popularity within the technical analysis community as a signal for peaks and troughs in asset prices. The DCCI is a derivation of the CCI and adds another level of analysis to this complex trading tool.

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RELATED FAQS
  1. Why is the Dual Commodity Channel Index (DCCI) important for traders and analysts?

    The dual commodity channel index (DCCI) is an adaptation of the original commodity channel index (CCI) that was developed ... Read Full Answer >>
  2. What is the Dual Commodity Channel Index (DCCI) formula and how is it calculated?

    The dual commodity channel index (DCCI) is a technical indicator used to show whether a security is overbought or oversold. ... Read Full Answer >>
  3. How do I use The Dual Commodity Channel Index (DCCI) for creating a forex trading ...

    The dual commodity channel index (DCCI) was originally created for use in commodity futures trading. Its use has since been ... Read Full Answer >>
  4. What are the best technical indicators to complement the Dual Commodity Channel Index ...

    The best technical indicators that complement the dual commodity channel index (DCCI) are trendlines, moving averages and ... Read Full Answer >>
  5. What is a common strategy traders implement when using the Dual Commodity Channel ...

    The DUAL Commodity Channel Index, or DCCI, is a type of moving average crossover technique. Since it is based on the interaction ... Read Full Answer >>
  6. What is Fibonacci retracement, and where do the ratios that are used come from?

    Fibonacci retracement is a very popular tool among technical traders and is based on the key numbers identified by mathematician ... Read Full Answer >>
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