StableFork_ADX

TCS

This is a Study with associated visual indicators Buy / Sell signals from StableFork Indicator.
The study is an integral part of the 3 point grading system and gives graphical representation of 2 of the 3 conditions.
It consists of an Average Directional Index ( ADX ), Plus Directional Indicator ( +DI ) and Minus Directional Indicator ( -DI ). ADX was invented by J. Welles Wilder in 1978 for use with currencies and commodities which are typically more volatile than stocks and have stronger trends.

Features
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+DI represented clearly in Green
-DI represented clearly in Red
Minimum requirement of 25 level marked by a black line
Crossover of +DI & -DI marked by text "CSO"

Strategy Description
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There should be a recent Buy/Sell signal from the StableFork Indicator
There should be a recent crossover between +DI and -DI and shall be represented by " CSO "
In case of a buy signal - to initiate a trade +DI should be above 25
sell signal - to initiate a trade -DI should be above 25

Basic Use
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Acceptable DMI values are up to the trader's interpretation and may change depending on the financial instrument being examined. Recommend not changing any default values without being first familiar with their purpose and impact on the indicator at large. The study has to be used in confluence with the StableFork Indicator

Inputs
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ADX Smoothing - the time period to be used in calculating the ADX which has a smoothing component (14 is the Default).

DI Length - the time period to be used in calculating the DI (14 is the Default).

Key Level - any trade with the ADX above the key level is a strong indicator that it is trending (23 to 25 is the suggested setting).

Sensitivity - an incremental variable to test whether the past n candles are in the same bullish or bearish state before triggering a delayed crossover alert (3 is the Default). Filter out some noise and reduces active alerts.

Indicator Visuals
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+DI shown in green line
-DI shown in red line

Minimum 25 level is marked by a black line

incase of a crossover the indicator will automatically show CSO in green/red


Guidelines on how to use the Indicator
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The most stable time frame for stocks and index signal generation is 5 mins - in case you select a shorter time frame, the study is bound to give a lot of alerts


Disclaimer
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I am not a SEBI Registered Analyst and shall not be liable for any profit, loss or liability resulting, directly or indirectly from the use and results of the Indicator.
I am a self taught trader and the indicator is the result of my hard of 16 years of price action analysis, and by no means have I established that this is the best strategy that can fetch you better returns than any other strategies. The Indicator follows price action, price action does not follow the indicator - This is not a Holy Grail setup, sometimes targets will be hit and sometimes the trades will hit stop losses as well.
This post and the script are not intended to provide any financial advice. Trade at your own risk.

Instructions to obtain access to this invite-only script
Send us a DM if you wish to gain access to the indicator

Release Notes:

There was a bug created from the new update in the StableFork indicator which was stopping ADX lines to be plotted. Fixed now