Can the CCI Strategy Indicator Be Profitable?

Does the CCI indicator trading strategy even work? Are online trading gurus telling you false information? I have wasted years testing every trading strategy out there before I found the right one that worked!

I’ve created this channel to expose every strategy and show their real probabilities, so you don’t have to waste your precious time like I did! I’m not here to sell any kind of online course; I’m just here to help you in your stock trading and Forex trading career. If you find this video helpful, consider subscribing to support the channel!

In this video, I will back-test a very famous trading strategy called the CCI strategy 100 times. Yes, you heard it right. Testing 100 times takes time and will most likely prove whether you should risk your hard-earned money using this strategy! This video will be very similar to the RSI and MACD videos I made a while ago. If you want to know if those strategies work after testing 100 times, check that video out.

For those who are new to trading, this is what the CCI indicator looks like. At first glance, it looks like the RSI indicator, but it is very different. On TradingView, the CCI indicator consists of an orange line called the CCI line and two horizontal lines called the upper band and the lower band.

I have already made a video on the basics. If you have never heard about this indicator, check out my previous video where I explain this indicator in detail. If you remember, in my last CCI video, I was strongly against using the CCI indicator alone to enter trades, and I still don’t recommend it. You will see why at the end of the video. I only recommend using it with another indicator that you know works.

As I mentioned in my previous CCI video, there are two kinds of traders that use the CCI indicator in very different ways. Also, in my last video, I showed two different methods to use this indicator. In this video, I’m going to use the second method, the method that most people use.

The Second Method: Overbought and Oversold
In this method, when the CCI line crosses below the upper band, the market is considered overbought, and we should look to sell.

Similarly, when the CCI line crosses above the lower band, the market is considered oversold, and we should look to buy.

In the next few minutes, I will show you how the profit graph looks after taking 100 trades, the real winning percentage of the CCI strategy, and how many losers you can expect in a row. I will fast forward the next clip to save your time. The following clip can help you understand how this strategy looks in different market conditions, so do watch carefully.

It took me around 1 hour to back-test 100 trades, and while testing, some trades almost came close to hitting the stop loss before going back and hitting profit targets. Don’t panic when the market is very close to hitting your stop loss. Losing is part of trading. The whole point of making this video was to show you the number of losers you can have in a strategy. No strategy works 100 percent of the time. Even professional traders use strategies that only work 60 to 65 percent of the time. As I always say, the key to making money is money management and trading psychology! Master that, and you can become a professional.

Results of the 100 Trades
Here are the results of the 100 trades.

If you want to know about the best MACD trading strategy that I back-tested 100 times to see if that strategy is profitable or just fake, check out the first video on this channel. And check out other strategies that I tested 100 times.

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