Configurable CCI with Adjustable Deviation and Smoothing

Summary

This document describes an adaptable version of the Commodity Channel Index (CCI) with controls beyond the standard period and applied price. Users can set a separate deviation period, a correction factor that scales the CCI, a moving-average calculation method, and overbought and oversold levels. The stated formula divides the difference between price and a selected moving average by mean deviation multiplied by the correction factor. Mean deviation is calculated over its own configurable range using absolute differences from an average.

The examples indicate that default settings reproduce standard CCI, while alternative moving-average methods and a different calculation range change the indicator’s behavior. These are configuration and calculation details, not evidence of trading performance. The document does not give signal rules, parameter-selection guidance, or backtests, so it does not establish which settings are useful for a particular market or strategy.

Key ideas

• The indicator adds controls for deviation range, correction factor, calculation method, and threshold levels.
• Its CCI value scales the difference between price and a moving average by mean deviation and a correction factor.
• The deviation calculation uses absolute price differences over a separately configurable range.
• Default settings are said to match standard CCI, while alternative averaging methods change the calculation.
• No trading rules or performance tests are provided.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.