Also called average directional index
ADX
Measures how strong a trend is without saying which way it points. Low readings mean a market going sideways, where trend-following strategies bleed.
A fuller explanation of this one is still being written. The definition above is the short answer.
See also
- EMA — An average of recent prices that weights the latest days most heavily, so it turns faster than a simple average. A fast one crossing above a slow one is the classic trend signal.
- Signal confidence — The weighted entry score a bar must clear before the strategy opens a trade, built from trend and momentum agreement. It says nothing about whether a stock is cheap.
Educational content, not investment advice. Angie explains how a valuation is built so you can judge it yourself. What you do with that is your call.
