⚡️Episode 80: ADX – Know the Strength of the Trend! 🚀📈
Is the trend strong enough to ride?
Or is it weak and likely to reverse soon?
The ADX (Average Directional Index) gives you the clear answer! 🔍🔥
📊 What is the ADX?
ADX = Average Directional Index
It measures the strength of a trend – regardless of whether it's up or down.
⬆️ Strong trend → ADX rises
🔄 Weak trend or sideways market → ADX falls
💡 How to interpret ADX readings:
✅ Below 20 → No clear trend (choppy or boring market)
✅ 20–40 → Moderate to strong trend
✅ Above 40 → Very strong trend
🔍 How to use it in trading:
🔸 Filter out fake signals:
Avoid trades during weak trends – save your time and capital!
🔸 Confirm breakouts:
Did the price really break resistance? Check if ADX is rising
🔸 Pair with directional indicators:
Like RSI or MACD to determine trend direction + strength
⚠️ But beware:
❌ ADX doesn’t show direction – only strength
❌ It should not be used alone – combine it with other tools
🟢 Is it available on Binance?
Yes ✅
Search for “ADX” in the indicators list
🛠️ How to add it on Binance:
Open any chart
Tap [🧠 Indicators]
Type “ADX”
Add it – default setting (14) works great
📌 Pro Tip:
If ADX is climbing and price breaks key resistance – the move is likely strong and real
But if ADX is dropping → ignore breakout signals, market may be too weak.
🚀 ADX gives you a real trading edge – helping you know when the market’s worth trading… and when to walk away!
🔥 Next episode: A weird but powerful indicator that measures “price choppiness” – and tells you when NOT to trade!
