cci

[brucekammer]

Can anyone tell me what is, or where I can find the full cci formula?

[DuaneG]

Just for clarification, are you searching for the calculation of the CCI study or are you searching for an CCI EFS formula to implement? Please let me know.

[brucekammer]

cci

Thanks for the reply Duane, I am looking for the calculation (the actual formula).

[DuaneG]

Hi Bruce,

Here is the information I believe you are looking for. This information was provided by Equis. You may want to use the link below for further information regarding the CCI study.

http://www.equis.com/Education/TAAZ/?page=42

Calculation

A complete explanation of the CCI calculation is beyond the scope of this book. The following are basic steps involved in the calculation:

Add each period's high, low, and close and divide this sum by 3. This is the typical price.

Calculate an n-period simple moving average of the typical prices computed in Step 1.

For each of the prior n-periods, subtract today's Step 2 value from Step 1's value n days ago. For example, if you were calculating a 5-day CCI, you would perform five subtractions using today's Step 2 value.

Calculate an n-period simple moving average of the absolute values of each of the results in Step 3.

Multiply the value in Step 4 by 0.015.

Subtract the value from Step 2 from the value in Step 1.

Divide the value in Step 6 by the value in Step 5.