Five CCIs Main Pairs
This indicator is based on two ideas:
- Correlations between 5 main currency pairs: EURUSD, GBPUSD, USDCHF, USDJPY, USDCAD;
- US Dollar Index = the value of the United States dollar relative to a basket of foreign currencies.
The use of the indicator is the same as classical Commodity Channel Index (CCI) indicator.
CCI is calculated with the following formula: (Typical Price - Simple Moving Average) / (0.015 x Mean Deviation)
(Typical Price - Simple Moving Average) / (0.015 x Mean Deviation)