Continuous Commodity Index Makes Strong Rebound

continuous_commodity_index2011.gifThe Continuous Commodity Index (CCI) is a basket of 17 major raw commodity market prices rolled into one composite index. It’s an excellent gauge for the overall trend in commodity prices. The CCI backed off from the all-time high scored in early March. But the index has made a strong rebound and is challenging the March record high. A push in the CCI above the March high would be yet another very bullish technical clue for the commodity market sector. A drop in the CCI below the solid support level at the March low would produce near-term chart damage to the index to begin to suggest the CCI has put in a market top. At present, the commodity market bulls, overall, have the solid technical advantage. Stay tuned!–Jim Wyckoff

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