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Average Directional Index |
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By: vss2000.com |
Average Directional Index ( ADX ) Developed by J. Welles Wilder, the Average Directional Movement Index (ADX) is an indicator for use with the Directional Movement Index and quantifies the strength and direction of a trend. The ADX consists of three components: the plus Directional Indicator ( DI), the minus Directional Indicator (-DI) and the Average Directional Indicator. The ADX is simply a modified moving average of DX. To calculate up or down directional movement in a trend, a range is determined by comparing today's high and low with yesterdays close. If the largest part of today's range is above yesterday's range, the directional movement is plus. If the largest part of today's range is below yesterday's range, the directional movement is minus. If today's range is within yesterday's range, then directional movement is defined as zero. The average of the directional movement indicators is the ADX.
Read the ADX like an oscillator. A high positive value would be bullish. A low negative value is interpreted as bearish. |
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Actionable trading levels delivered LIVE to YOUR charts
GVI Trading. Potential Price Risk Scale
AA: Major, A: High, B: Medium
Mon 27 May 2019
AAGB/US- Holiday
Tue 28 May 2019
A 14:00 US- Consumer Confidence
C 13:00 US- Case-Shiller
Wed 29 May 2019
A 08:55 DE- Employment
AA 18:00 US- BOC Decision
A 18:30 US- EIA Crude
Thu 30 Mar 2019
AAEZ/CH- Holiday
A 12:30 US- Weekly Jobless
Fri 31 Mar 2019
AA 10:00 EZ- Flash HICP
A 12:30 US- Personal Income, Spending, Deflator
AA 14:00 US- Final Univ of Michigan
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