Trend · TickAtlas Learn

Average Directional Index (ADX)

The Average Directional Index measures trend strength regardless of direction. It consists of the ADX line (strength), +DI (bullish directional), and -DI (bearish directional). Developed by J. Welles Wilder.

10 min readUpdated 2026-03-21Trend
ADX · quick spec
GET /v1/indicator ?symbol=EURUSD&indicator=ADX&timeframe=H1
Family
Trend
Series
adx · +di · -di
Best timeframes
H1 · H4 · D1
Last updated
2026-03-21

TL;DR

  • ADX is a trend indicator used in technical analysis
  • ADX > 25 indicates a strong trend. ADX < 20 indicates a weak/ranging market. +DI above -DI is bullish; -DI above +DI is bearish.
  • Best timeframes: H1, H4, D1
  • Skip to API docs
Understand

What is Average Directional Index?

The Average Directional Index measures trend strength regardless of direction. It consists of the ADX line (strength), +DI (bullish directional), and -DI (bearish directional). Developed by J. Welles Wilder.

Calculate

How ADX is calculated

formula
ADX = Smoothed average of |+DI - -DI| / (+DI + -DI)

+DI = Smoothed +DM / ATR × 100
-DI = Smoothed -DM / ATR × 100

Default period: 14
Interpret

How to interpret ADX

ADX > 25 indicates a strong trend. ADX < 20 indicates a weak/ranging market. +DI above -DI is bullish; -DI above +DI is bearish.

Apply

Trading strategies using ADX

Strategy 1: ADX Trend Filter

Use ADX to filter trades — only take trend-following signals when ADX confirms a strong trend.

Entry rules

Only enter trades when ADX > 25. Use +DI/-DI crossover for direction.

Exit rules

Exit when ADX falls below 20 or when +DI/-DI cross in the opposite direction.

Combine

Combining ADX with other indicators

ADX works best when combined with complementary indicators:

  • ADX + MACD: Combine for stronger confluence signals
  • ADX + RSI: Combine for stronger confluence signals
  • ADX + Parabolic SAR: Combine for stronger confluence signals
Timeframes

ADX across different timeframes

ADX works across all 7 timeframes but performs best on H1, H4, D1 for most trading styles.

H1H4D1

Learn about all 7 timeframes

Query

Accessing ADX via the TickAtlas API

GET https://tickatlas.com/v1/indicator

Python example

python
import requests

url = "https://tickatlas.com/v1/indicator"
headers = {"X-API-Key": "YOUR_API_KEY"}
params = {
  "symbol": "EURUSD",
  "indicator": "ADX",
  "timeframe": "H1"
}

response = requests.get(url, headers=headers, params=params)
data = response.json()
print(data)

Sample response

200 OK
{
  "success": true,
  "data": {
    "symbol": "EURUSD",
    "indicator": "ADX",
    "timeframe": "H1",
    "value": 27.4,
    "updated_at": 1711548000,
    "server_time": "2024-03-27T14:00:00+00:00",
    "bid": 1.0856,
    "ask": 1.0857
  }
}
Avoid

Common mistakes to avoid

  • Confusing ADX direction with price direction — ADX measures trend strength, not direction
  • Using ADX alone without +DI/-DI for directional signals
  • Expecting ADX to provide timely entry signals — it lags significantly
FAQ

Frequently asked questions

What ADX level indicates a strong trend?

ADX above 25 is generally considered a strong trend. Above 50 is an extremely strong trend. Below 20 is typically a ranging market. These are guidelines, not rigid thresholds.

Continue learning

From learning to building

Put ADX to work in your application.

Sign up with $2.50 of starting credit and query pre-calculated ADX data across 7 timeframes, from M1 to D1.