Variable List Abbreviation: DX
Variable Mode(s): Stock, Futures1, and Futures2
[ Note: appears in indicator list only after high and low selected ]
Parameter(s): DX factor
Description:
Indicates the presence of trends in the market. Positive values indicates a possible upward trend, while negative values indicate a possible downward trend. Increases in the values over time indicates a tendency towards a stronger upward trend, while decreases in the values over time indicates a tendency towards a stronger downward trend.
Calculation:
Plus Directional Movement (PDM) = abs(high  previous high)
Minus Directional Movement (MDM) = abs(low  previous low)
if ( high < previous high ) and ( low > previous low )
PDM and MDM are set to zero
otherwise if PDM = MDM then both set to zero
otherwise the smaller of the two is set to zero
True Range (TR) is the largest of the following
absolute value of ( high  low )
absolute value of ( high  previous close )
absolute value of ( low  previous close )
Plus Directional Indicator (PDI) = Exponential Moving Average of PDM
Exponential Moving Average of TR
Minus Directional Indicator (MDI) = Exponential Moving Average of MDM
Exponential Moving Average of TR
Directional Movement (DX) = PDI  MDI
PDI + MDI
