Blog : ADX - Average Directional Index Indicator
ADX - Average Directional Index
ADX (Average Directional Index): The Average Directional Index (ADX) is a technical indicator used to measure the strength of a trend, regardless of its direction. It ranges from 0 to 100, with higher values indicating a stronger trend. While ADX does not indicate the trend direction, it is often used alongside the +DI and -DI (Directional Indicators) to provide a complete picture of trend direction and strength. It is commonly used to identify whether the market is trending or ranging.
ADX - Average Directional Index Inputs | |
---|---|
ADX Threshold | 25 |
ADX Smoothing | 14 |
DI Length | 14 |
Long - Entry Trigger | Long - Exit Trigger | Short - Entry Trigger | Short - Exit Trigger |
---|---|---|---|
+DI crossover -DI and ADX > Threshold | +DI crossunder -DI | +DI crossunder -DI and ADX > Threshold | +DI crossover -DI |
Long - Entry Confluence | Long - Exit Confluence | Short - Entry Confluence | Short - Exit Confluence |
ADX > Threshold and +DI > -DI | +DI < -DI | ADX > Threshold and +DI < -DI | +DI > -DI |