ADX

ADX is usually used to quantify the strength of a trend. It stands for Average Directional Index and was developed in 1978 by Welles Wilder and is an indicator used in technical analysis.

To interpret the ADX it is first necessary to understand that this indicator does not indicate the direction of the trend, but only its strength. The value of the ADX is usually between 0 and 100. Below 40 the trend is considered strong, under 20 it is considered weak.

Wilder used the 14 periods.