The parameter settings on the DoubleCCI_Woodies indicator allows for the tweaking of
colors, CCIs period and you can also add alerts. The chart has a grey and blue CCI.
We also have histograms in shahs of green, red, gold and black. The green color denotesa
bullish trend, while the red color denotes a bearish trend. The default setting for the
DoubleCCI_Woodies indicator are 14, 6 periods.
If the blue CCI breaks above the zero-line it indicates a bullish signal, while if the blue CCI
line breaks below the zero-line it is an indication that price is bearish. In order to be able
to filter the signals, then you must wait for the blue CCI to cross above the zero-line
when the histogram is green (bullish alert), and you should also wait for the blue CCI line
to cross below the zero-line when the histogram is red (bearish signal).
Another important point worthy of note is the extreme levels of 200 and -200 on the
DoubleCCI_Woodies indicator – these regions are usually not good to open positions as
they tend to signal the end of the trends.
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