The Average Directional Index (ADX) is a moving average of a range, usually 14 days, that's used to quantify the strength and direction of a trend. ADX values are significant in that lower values indicate a weak to non-existent trend, i.e. ADX=14, whereas an ADX=40 is indicative of a strong trend. Additionally, a weak trend could signal that price has entered in...
What does it do?
Converts all DMI lines into one line and represents the line behaviour in a histogram format, which provides more understanding of this indicator movement.
How does it work?
The better sell signal is given when the line crosses under the zero line (providing the 3of3 signal), but an antecipation of the selling opportunity is given when the...
