ADX
Measures how strong a trend is, not which way it goes. High readings favor trend trades.
About
The Average Directional Index (ADX) measures trend strength, not direction. It is built from +DI and -DI. Readings above 25 usually mean a trend is in force. Readings below 20 usually mean chop.
+DI above -DI with a rising ADX supports a long-side trend filter. The reverse supports a short-side filter. ADX alone does not say which way to trade.
Use ADX in a mix to allow trend-following entries only when strength is present, or to block mean-reversion entries when ADX is already high.
Mixes using ADX
ADX Trend EMAAAPL1 day
Enter when the fast EMA crosses above the slow EMA while ADX confirms a trend; exit on the EMA cross down.
ADX Confirmed SMA CrossSPY1 day
Enter when the fast SMA crosses above the slow SMA while ADX confirms a trend; exit on the SMA cross down.
Telecom Cloud RideT1 day
Ichimoku Tenkan crossing above Kijun with ADX confirming a trend on a telecom name. Exit when Tenkan crosses back below Kijun.