ADX calculations are based on a moving average of price range expansion over a given period of time. ADX is shown as a single line with values between zero to 100.
Click here to see the ADX inside a real time trading platform.
The ADX indicates the amount of trend there is in a market, it does not show the direction of that trend. The higher the value of ADX the stronger the trend whether it is upwards or downwards and vice versa.
This example shows the ADX inside NanoTrader. The higher the value of the ADX, the stronger the trend is. Periods of low ADX indicate that the market is moving in a sideway pattern.
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