Nifty 50 Index
Education

how to use ADX

The ADX is widely used and is considered by many traders to be very reliable as a gauge of trend strength. Traders can easily alter the time period to meet their

ADX below 20: Non-trending or consolidating.
ADX crosses above 20: A new trend may emerge.
ADX crosses 25: Confirmation of the trend.
ADX above 40: Strong trend.
ADX crosses 50: Extremely strong trend.
ADX crosses 70: A rare occasion.

Disclaimer