CCI Calculation

CCI = (Typical Price - SMATP) / (.015 X Mean Deviation)

Typical Price= TP=(H+L+C)/3 where H = high, L = low, and C = close.

SMATP= 18-period Simple Moving Average of the TP.

Mean Deviation=mean of absolute values of the difference between the last period's SMATP and the typical price for each of the past 18 periods.

In a Falling CCI-Rising Price Divergence, the higher first CCI peak can be related to a large gap up in price at the open which leads to a larger numerator
(i.e. TP18>>SMATP18). The subsequent CCI peak is lower even though the TP is higher because the SMATP "catches" up to the recent higher prices (e.g. TP18-SMATP18>>TP30-SMATP30). This suggests that gaps get filled unless the subsequent price rise is real big. In the chart pictured TNA's price fell to 44.30 after the divergence occurred.