This indicator was originally used for the commodity markets with strong price movements. Nowadays, this indicator is also used for trading the forex market. This indicator is based on a momentum oscillator.
To place a buy order, you wait for the CCI to touch the +100 level. When the CCI touches the -100 level, the trader places a sell order. This indicator is available for free on your MetaTrader platform.
For example, look at the USD/JPY chart. As you can see, the CCI indicator shows numerous sharp movements and trends. When the CCI touched the +100 level, the price increased considerably, Also, this long candlestick confirms the uptrend. You can use this indicator for additional confirmation.