AVERAGE DIRECTIONAL INDEX - ADX

   For a good explanation of ADX, I'd recommend Alexander Elder's book, "Trading For A Living". It has a very good description of the make-up of ADX and a system for trading it. Besides, if you're trading, you should have this book anyway, it's invaluable!

(Hope you get this reply to your post, I'm a newbie to Bullcharts, currently enjoying my 14day trial.)

Author	Message / View First Unread Post Share Topic Printable Version Delicious Digg Facebook Furl Google Boomarks Google Buzz MySpace Newsvine reddit StumbleUpon Translate Twitter Windows Live Yahoo Bookmarks Topic Search Topic Options Post Reply Create New Topic
davkell Members Profile Send Private Message Find Members Posts Add to Buddy List Regular Joined: 01 Dec 2004 Location: Australia Posts: 47	Post Options Post Reply Quote davkell Report Post Quote Reply Topic: AVERAGE DIRECTIONAL INDEX - ADX Posted: 07 Dec 2004 at 9:14pm
	For a good explanation of ADX, I'd recommend Alexander Elder's book, "Trading For A Living". It has a very good description of the make-up of ADX and a system for trading it. Besides, if you're trading, you should have this book anyway, it's invaluable! (Hope you get this reply to your post, I'm a newbie to Bullcharts, currently enjoying my 14day trial.)
	"Trade Your Way To Financial Freedom."

SimonSavva Members Profile Send Private Message Find Members Posts Add to Buddy List Regular Joined: 15 Sep 2004 Posts: 84	Post Options Post Reply Quote SimonSavva Report Post Quote Reply Posted: 07 Oct 2004 at 9:14am
	Rhubarb, did you make the conventional indicator? If so I'd love a copy.

SimonSavva Members Profile Send Private Message Find Members Posts Add to Buddy List Regular Joined: 15 Sep 2004 Posts: 84	Post Options Post Reply Quote SimonSavva Report Post Quote Reply Posted: 26 Sep 2004 at 8:23pm
	Got myself a copy. BRILLIANT Explanation!! Thankyou Seahorse

Seahorse Members Profile Send Private Message Find Members Posts Add to Buddy List Regular Joined: 11 Sep 2004 Location: Australia Posts: 35	Post Options Post Reply Quote Seahorse Report Post Quote Reply Posted: 25 Sep 2004 at 12:10pm
	Go to your local newsagency and purchase a copy of....... Issue4 CHARTING "PowerStocks". From the publishers of Shares Magazine. In this magazine Colin Nicholson describes how to use a host of indicators, including the ADX. Cost is $9.95...cheap!!!!
	My Reality Check bounced

SimonSavva Members Profile Send Private Message Find Members Posts Add to Buddy List Regular Joined: 15 Sep 2004 Posts: 84	Post Options Post Reply Quote SimonSavva Report Post Quote Reply Posted: 25 Sep 2004 at 11:38am
	Man, this ADX. I've always been interested in, but it's always so complex. If anyone can direct me to a very concise discription and some examples, I'd be much appreciative. Edited by SimonSavva

Brendon Members Profile Send Private Message Find Members Posts Visit Members Homepage Add to Buddy List BullCharts Staff Joined: 10 Sep 2004 Location: Australia Posts: 126	Post Options Post Reply Quote Brendon Report Post Quote Reply Posted: 14 Sep 2004 at 6:43pm
	Ric, You are able to modify the default plots that appear. When inserting Directional Movement all columns - click on Next, then select the Styles tab. Tick the various plots that you wish to display. You could try creating a new Indicator using the Builder. Here is a basic starting point of your idea. Time periods and signals can be added to the Bullscript as well. [name=+DI; color=Green] pdi; [name=-DI; color=Blue] mdi; [name=ADX; color=Red] adx; Edited by Peter

Rhubarb Members Profile Send Private Message Find Members Posts Add to Buddy List Newbie Joined: 11 Sep 2004 Location: Australia Posts: 10	Post Options Post Reply Quote Rhubarb Report Post Quote Reply Posted: 14 Sep 2004 at 3:21pm
	This is one of my most used and valuable trading tools. I see where we have available a group of "Directional Movement" Indicators - however, I would like to see a more conventional indicator where we have the basic 3 lines available in the one set up. 1. The ADX line which measures the strength of the trend - rising, indicating the strength of the trend is increasing ( more directional) while a falling line shows the trend is weakening ( less directional) 2. The plus D1 - showing positive upward directional movement. 3. The minus D1 - showing negative downward directional movement. TRADING To set up we look for the plus D1 to cross over as a precondition and then to trade it when the ADX line crosses up and over the ADX level - here we should be able to set levels between "0" and "50" with an ADX level line at 25 ( to be variable). Whilst it is common to use time periods of 13 or 14 - this feature should also be variable A weekly system should also be available - using compressed data.As usual line colours to be available to assist in easier interpretation. If it is possible to show a suitable "buy" signal when above trading requirements are met - it could then become a most valuable scan tool. I did look at the "combination" Directional Movement Indicator - but found it very difficult to interpret.
	Rhubarb 4 All