The Average Directional Index (ADX) is a technical indicator that measures the strength of a market trend without signalling its direction. This guide explains how ADX works, how to interpret its ...

One of the difficulties in trading is that it is not easy to determine whether a trend will continue or whether it is poised to reverse. Correct risk management will ensure that an incorrect trade ...

One of the most powerful uses of the Average Directional Index (ADX) is to confirm Directional Indicator (DI) crossovers that can signal buying opportunities. In a recent live webinar, John Rowland, ...

Today I will explain about one of the most effective, but lesser researched, utilised and thus underrated indicator in trading i.e the Average Directional Index (ADX). I said lesser researched because ...

Most traders focus on finding entries — but avoiding bad trades is just as important. That’s where the Average Directional Index (ADX) comes in. In this clip from his recent live Barchart webinar, ...

I am often asked about my use of indicators in addition to price patterns. Remember, all indicators are derivatives of price. So, as a general rule my attitude has been why study indicators when I can ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Vikki Velasquez is a researcher and writer ...

Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Suzanne is a content marketer, writer, and fact-checker. She holds a Bachelor of ...

Analysts have used technical indicators for years. They analyze historical data, looking at past price movements to speculate on the future price direction of financial instruments. These indicators ...