ADX filter: BUY when +DI <= 5 / SELL when -DI <= 5

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Hello, a couple of weeks ago I started with the tests of the expert that seems very, very interesting. One of my strategies that combined with other oscillators and chart patterns or pivots, is to use the ADX which I think would be very useful. Mainly to see when di + or di- touch the level 5 so that the price has a correction towards an average that could be an example of 50 (EMA) and resume the trend. it would also be interesting to be able to add one more pair of moving averages. Cheers

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Andrey Khatimlianskyi
  • Under review

Hey!

Thanks for your post.

So, ADX should allow BUYs when +DI <= 5 and allow SELLs when -DI <= 5?

Please, describe exact rules you want to use.

As for "one more pair of MAs".

Are you about "MA above/below" filters?

Please, give more details too.

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Sai Pratap

Can you please share the set file you used for testing, so that can help us to improve it further.

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Kishan Bhatt

This new oscillator would be interesting to test against the others like cci and stochastic. Currently, I don't think it's included in the oscillator set that we use. 

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Andrey Khatimlianskyi
  • Planned (collecting votes)

It is not an Oscillator, but Trend detector )

Approved via PM:

ADX should allow BUYs when +DI <= 5 and allow SELLs when -DI <= 5

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Ulises Cune

Add something else. When ADX is > 40, for example, the trend is stronger, then with DMI+/DMI- the direction of the trend is detected

Image 2099

Buy when:

  • ADX > 40
  • +DMI crosses up -DMI

Sell when:

  • ADX > 40
  • +DMI crosses down -DMI

https://www.investopedia.com/articles/trading/07/adx-trend-indicator.asp

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Andrey Khatimlianskyi
Quote from Ulises Cune

Add something else. When ADX is > 40, for example, the trend is stronger, then with DMI+/DMI- the direction of the trend is detected

Image 2099

Buy when:

  • ADX > 40
  • +DMI crosses up -DMI

Sell when:

  • ADX > 40
  • +DMI crosses down -DMI

https://www.investopedia.com/articles/trading/07/adx-trend-indicator.asp

Accepted.

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Andrey Khatimlianskyi
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Andrey Khatimlianskyi
  • Completed
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Ulises Cune

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nigel faria

It would be good to stop trading during a ranging market ie when the ADX <20