This video explains not everything about ADX indicator but some important concepts about ADX. We learn a very important thing from this video. In Low volatility ADX will go down. If the ADX reaches the numbers 11, 12 or 13 that means there is a very low volatility. The low volatility on the ADX means there is strong trend move in any direction is coming forward. It won’t say in which direction the market trends but there is a strong trend is going to come. Check the following video.
Average directional index video
November 28, 2009 By 1 Comment
Average directional index(ADX) is also called average directional movement index(ADMX).
This is an indicator for determining the strength of a prevailing trend.
ADX is measured on a scale from 0 to 100.
There are three lines in this indicator. One line represents the positive directional index and another line represents the negative directional index and the third one represents the strength of the trend.
This video shows you how to use this indicator for forex trading.
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