Definition of the Average Directional Movement (ADX) Indicator: The Average Directional Movement indicator, also known as ADX, is classified as a trend indicator. It was developed by J. Welles Wilder. Being a trend indicator, the ADX is created to measure the trend of the market, as well as the extent to which a currency pair is trending. How to Use ADX Indicator to Trade Stock & Binary Options. The ADX, or Average Directional Index measures the strength of a trend and can be useful to determine whether an asset is currently in a trending market or a ranging market. The ADX indicator ranges from 0 to 100. An ADX reading of 20 and lower indicates ranging or weak trend. ADX is plotted as a single line with values ranging from a low of zero to a high of 100. ADX is non-directional; it registers trend strength whether price is trending up or down. Page 1 of 4 - 5m ADX Stratgey - posted in 5 Minute Strategies: Hello fellas, Its been so long since I posted any new strategy. So this weekend I was free and super bored so I did some chart time and played around with couple of things.After playing a bit with it and back testing I think this Simple ADX strategy is worth exploring more. Due to lack of time I can not do the testing on live ... Iqoption ADX indicator. ADX (Average Directional Index) is an indicator that is used to measure strength of the trend on iqoption. Alongside minus directional indicator (-DI) and the plus directional indicator (+DI), it forms a group of directional movement indicators that are used to effectively measure both the strength and direction of the trend.
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