What this helps answer
Is ADX showing trend strength for SOL?
Indicators
ADX and Directional Movement
ADX, or Average Directional Index, measures trend strength without saying whether the trend is up or down.
Why it matters
This concept is part of live backend analysis and is used to explain market context, not to produce standalone buy or sell instructions.
Related concepts
Trend Strength, Market State, Moving Averages
How it is used in NotifyTrader
NotifyTrader calculates ADX 14 and stores ADX, +DI, and -DI. ADX is a core input for Trend market state, severity, and exhaustion risk.
What ADX shows
ADX rises when price action becomes more directional. It can rise during both uptrends and downtrends.
+DI and -DI help describe which side has more directional pressure, while ADX describes strength.
Common interpretation
ADX below roughly 20 often suggests weak trend or range behavior. ADX above roughly 25 often suggests stronger directional behavior.
Very high ADX can describe strong trend, but it can also appear near exhaustion when paired with stretched RSI and volatility.
How NotifyTrader uses ADX
The market state engine uses ADX to classify Trend and to increase severity. ADX is also included in alert receipts and assistant context.
ADX should be read with moving average bias and market structure because it does not define direction by itself.
Questions to ask the assistant
- Is ADX showing trend strength for SOL?
- Does ADX support Trend or Range state?
- Is high ADX part of exhaustion risk?
FAQ
Does ADX show trend direction?
No. ADX shows strength. Direction comes from price, +DI/-DI, moving averages, and structure.
Can ADX be high near a reversal?
Yes. Strong directional moves can become stretched, so ADX must be read with risk signals.