01 · Indicator · ADX / DMI
What is ADX / DMI?
Created by J. Welles Wilder in 1978, the ADX measures trend strength regardless of direction. The +DI and −DI lines show who dominates.
It is the best filter to decide whether trend indicators or oscillators fit.
02 · Indicator · ADX / DMI
The calculation
+DI and −DI compare directional moves to the True Range smoothed over 14 periods.
ADX = smoothed average of |+DI − −DI| / (+DI + −DI) × 100.
03 · Indicator · ADX / DMI
Reading the signals
ADX above 25: established trend; below 20: range. +DI above −DI: buying pressure.
A rising ADX confirms acceleration; a falling one, fading.
04 · Indicator · ADX / DMI
Settings and combinations
The period is adjustable in the Trend group. It pairs well with: Supertrend, Parabolic SAR, MACD.
To put the signal in context, check the Heatmap, the news or ask the AI Compass. No indicator is investment advice.
◆ Step by step
Get started in 4 steps
- 01
Open a chart
Search for an asset on the Charts page and pick a timeframe.
- 02
Add the indicator
Open Indicators, Trend group, then click ADX / DMI.
- 03
Adjust the settings
Change the parameters in the indicator sheet to suit your horizon.
- 04
Confirm the signal
Cross-check with the main trend and another indicator before concluding.
◆ FAQ
Your questions, clear answers.
01Does ADX show direction?
No, only strength; direction comes from +DI and −DI.
02Which threshold?
25 is the most common guide.
03How to use it?
As a filter: strong trend = trend tools, weak = oscillators.