What is CCI overbought? — chart signal explained
CCI gauges how far the price has jumped above its usual territory. For each bar it takes the average of the high, low, and close, then compares how far that value sits from the 20-bar average, scaled by how much the price normally fluctuates. The higher the positive reading, the further above its usual range the price has stretched.
When does it fire? — BaroBara criteria
It fires when the 20-bar CCI rises above +100.
How traders usually read it
Above +100 is commonly seen as a stretch too far too fast, so many traders expect the price to pause or give some back. Interestingly, there's an opposite school of thought: trend-following traders sometimes treat a break above +100 as a sign that a strong move is just getting started.
What to watch out for
When an uptrend is powerful, CCI can stay above +100 for a long stretch while the price keeps climbing. So this signal firing doesn't mean a drop is coming — it might just as well be evidence of strong momentum, and the signal alone can't tell you which.
What the data actually shows (BTC 1h)
The common reading is a drop — but what actually happened matters more. This signal has fired 670 times on BTC 1h; across the most recent 300, price reached the small target (+0.25%) first about 49% of the time. Widen the target to ±1% and it becomes about 51%. A historical probability, not a guaranteed direction — and it shifts with market regime.
Odds and expected value — with symmetric target and stop (±)
Exactly the barobara framing: which side got hit first, +X% or −X%. Target and stop are set to the same %, and the win rate is how often the upside (+X%) was reached first.
| Target = stop (±) | Win rate (+ first) | EV (before fees) |
|---|---|---|
| ±0.25% | 49% | -0.01% |
| ±0.5% | 46% | -0.04% |
| ±0.75% | 49% | -0.02% |
| ±1% | 51% | +0.02% |
| ±1.5% | 49% | -0.03% |
| ±2% | 47% | -0.12% |
Broken down by market regime
⚠️ This table uses a different basis than the symmetric (±) table above — a small +0.25% target with a wide −2.5% stop (fees included). The small target makes the win rate look high while EV is often negative — exactly what signal groups hide. And the same signal behaves differently across regimes.
| Regime | Win rate (+0.25% target) | EV (−2.5% stop) | Sample |
|---|---|---|---|
| Bear market | 88% | -0.15% | N=190 |
| Sideways | 88% | -0.15% | N=218 |
| Bull market | 84% | -0.28% | N=250 |
Recent occurrences
How far price actually moved the last few times this signal fired (MFE = maximum favorable excursion).
| Date | MFE | Result |
|---|---|---|
| 2026-06-22 | 2.99% | ✅ hit |
| 2026-06-22 | 6.32% | ✅ hit |
| 2026-06-26 | 0.46% | ✅ hit |
| 2026-06-26 | 2.27% | ✅ hit |
| 2026-06-29 | 5.94% | ✅ hit |
| 2026-07-01 | 1.39% | ✅ hit 🔴 stopped |
| 2026-07-01 | 2.42% | ✅ hit 🔴 stopped |
| 2026-07-02 | 0.59% | ✅ hit 🔴 stopped |
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