ADX line interpretation

rajeshn2007

Well-Known Member
#2
The ADX is a trend following system. The average directional movement index, or ADX, determines the market trend.

When used with the up and down directional indicator values, +DI and -DI, the ADX is an exact trading system. The standard interpretation for using the ADX (blue line) is to establish a long position whenever the +DI (green line) crosses above the -DI (red line).
 
#3
The ADX is a trend following system. The average directional movement index, or ADX, determines the market trend.

When used with the up and down directional indicator values, +DI and -DI, the ADX is an exact trading system. The standard interpretation for using the ADX (blue line) is to establish a long position whenever the +DI (green line) crosses above the -DI (red line).
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Sir, What exactly I need to know is : ADX line blue line when increasing, say 20-40-60 and above how strong and what trend and when dcreasing 60-40-20 and lower how to indetify immidiate future trend direction. Please post. Thanks.
 

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