ADX on Metatrader 5

Beginner Questions
1

Hello,
I started learning Forex Trading following Babypips course, and I am struggling to understand the ADX Index, As taught is the course, when the ADX is below 20 this means the trend is weak, and when it’s over 40 it means the trend is strong.
However, when I try to apply this to the live metatrader web plateform, I don’t understand this index, firstly because it is presented with 3 lines, not only one. and because once the trend tends to reverse (meaning it has become weak), the ADX is over 40.

I uploaded the picture showing the situation on Metatrader 5. Thank you for explaining this to me, I appreciate your help in advance.

bbpps
bbpps1435×833 46.5 KB

1 Like
2

the other two are +DI and -DI (sometimes called +DMI and -DMI) which show the strength of recent positive and negative movements, according to the settings

the important thing to know is that ADX itself (the main line) shows you only trend-strength, not trend-direction

this article will help you greatly, to understand the whole thing:-

and by the way, welcome to the forum!

3 Likes
3

Hi, @flamingoproxy gave you perfect description, but I think you should finish education section. Regards Greg

2 Likes
4

Thank you! I will read more about this. Thanks for your precious help!

5

Yes I’m working on it. Thank you!

1 Like