ADX Directional Movement Index - Using the ADX/DMI on big oil and the oil index.

[alexchartfilter]

ADX Directional Movement Index - Using the ADX/DMI on big oil and the oil index.

A historical look at using the ADX/DMI on big oil. The DMI system is an effective and frequently used trend indicator. DMI stands for Directional Movement Index, and ADX is the Average Directional Movement Index.

This system is well worth investigating. It can be complex, but it doesn't have to be! The calculations are complicated, but now that computers crunch the numbers we can focus on interpreting the results.

So don't let DMI and ADX intimidate you! Follow along and you'll probably find the potential for this indicator very interesting. [More...]