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intermediatePremiumTechnical Analysis

ADX & DMI

The Directional Movement Index (DMI) and Average Directional Index (ADX) are Wilder's tools for measuring trend direction and, crucially, trend strength. This article explains the +DI and -DI lines (which side is winning), the ADX line (how strong the trend is, regardless of direction), the conventional 25/20 thresholds for trending versus ranging, how DI crossovers signal direction, and how to use ADX as a filter rather than a standalone signal.

13 min readPublished 26 June 2026

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Moving AveragesTrendlinesATR

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Key terms

ATRBollinger BandsBreakoutCandlestickDivergenceDojiFibonacci RetracementGap

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