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Average Directional Index

ADX helps you understand how strong a trend is. It doesn’t tell you if the trend is up or down, just whether it is strong or weak. ADX values above 25 usually mean a strong trend, while values below 20 suggest the market may be moving sideways.

You can use ADX to decide whether to follow the trend or wait. If the trend is strong, it might be a good time to look for entries in that direction.

For example, if Infosys breaks a key resistance level and the ADX is rising above 25, it may confirm that the breakout has strength behind it.

ParameterDescriptionDefault Value
WindowNumber of periods for the indicator14