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The WCCI is a graphical representation of the relationship between Price and a Moving average of price, "Normalized" to produce an oscillator with boundries.
That is why movement of the WCCI is correlated with Price-Moving Average movement.
Note the similarities
Trading the WCCI is very close to trading Price Action
I'm just a simple man trading a simple plan.
My daddy always said, "Every day above ground is a good day!"
Correct. Your conclusion applies to almost any momentum oscillator. We don't need no stinky indicators (unless you have a leading indicator, as he used to claim - funny, he still does)
By dividing the Mean by .015*Mean forces the CCI to return to neutral territory from overbought or oversold before price falls or rises.
You could view that as the CCI "leading" price ... but then again .... you could view that as the CCI overreacting and getting you out of a position too early ....
I'm just a simple man trading a simple plan.
My daddy always said, "Every day above ground is a good day!"
I should of stayed in because pa didnt even come to the green line (8ema) but I just took the profit at hand.
Thats not ignorance, that was a very good question.