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// ADX.MQ5
What is the ADX indicator?
Average Directional Index (ADX)Trend
Measures the STRENGTH of a trend regardless of direction — the indicator for deciding whether to trade at all.
Three reasons Average Directional Index is still used after decades.
Answers the right question
Not whether to buy or sell, but whether the market is worth trading right now.
A strong filter
Put in front of a trend system, it removes most sideways phases.
Direction comes with it
The +DI and −DI lines show which side has the upper hand.
// READING_SIGNALS
How to read Average Directional Index signals
How Average Directional Index (ADX) produces its number, and what each shape on the chart means.
Formula and how it works
+DI and −DI are calculated from directional movement (+DM, −DM) and the True Range, smoothed with Wilder's method. DX = 100 × |+DI − −DI| / (+DI + −DI); ADX is the smoothed average of DX. ADX above 25 usually shows a trend strong enough to trade in its direction.
How to use it in an EA
Use ADX as a filter: only follow the trend when ADX > 25; +DI crossing above −DI suggests buying, the reverse suggests selling. A low ADX warns of a sideways market.
Fits when
As a gate for another system, placed before the entry decision.
Struggles when
Using it alone to find entries. ADX is a lagging indicator that does not show direction, so it cannot produce a complete signal on its own.
ADX above 25A trend strong enough for trend systems to work.
CONCEPT ILLUSTRATION · ADX above 25ADX above 25 → the trend is strong enough · 14ADX25 threshold
ADX below 20A sideways market. This is the time to stay out or switch to an oscillator system.
CONCEPT ILLUSTRATION · ADX below 20Price returns to the balance zone · 14Range edgePrice
+DI crosses above −DIBuyers are taking the upper hand; it only matters once ADX is high enough.
ADX rises while price fallsThe downtrend is strengthening. A high ADX does not mean price is rising.
CONCEPT ILLUSTRATION · ADX rises while price fallsRising ADX measures growing strength; price can still fall · 14Falling priceRising ADX25 threshold
Common mistakes
Reading a high ADX as a rising market. ADX only says the trend is strong — which direction it is strong in comes from +DI and −DI.
// PARAMETERS
Recommended MT5 parameters for Average Directional Index
Default values of the sample file; test them for your market and timeframe.
Parameter
Description
InpPeriod
Wilder smoothing period for DI and ADX (default 14).
// INSTALL
Put the indicator into MetaTrader 5
Four steps, no software needed besides MT5.
01Download the .mq5 file
Click the download button above; the file saves to your computer under the indicator's name.
02Open the data folder
In MetaTrader 5 choose File → Open Data Folder, then go to MQL5/Indicators.
03Compile
Open the file in MetaEditor and click Compile. No errors means the indicator is ready.
04Drag it onto the chart
Go back to MT5, refresh the Navigator and drag the indicator onto the price chart.
📄 adx.mq5
DinexSpace wrote this file from the indicator's public formula, not from any commercial source. You are free to edit and reuse it.
// THE_DIFFERENCE
How it differs from MetaTrader 5's built-in indicator
The short answer: the formula is not different. What differs is what you can do with it.
Average Directional Index here gives exactly the same number as MetaTrader 5's built-in version — on purpose. The four points below are what differs, and all four can be read from the very adx.mq5 you download.
Calls a built-in indicator
No — the calculation sits in OnCalculate and can be copied straight into an EA
External libraries
Not a single #import declaration
Code length
82 lines · 1 input parameters
How it draws
A separate window below the price chart · calculated incrementally, does not redraw the past
Frequently asked questions about Average Directional Index
What ADX level means a strong trend?+
Above 25 is usually considered a strong enough trend, below 20 sideways. These are common conventions, not constants: each currency pair and timeframe has a different baseline, so observe it on the market you actually trade.
Does a rising ADX mean price will rise?+
No. ADX only measures the STRENGTH of the trend, not its direction. A rising ADX in a downtrend means price is falling harder. To know the direction, look at the +DI and -DI lines.
Does Average Directional Index on this page use real or simulated data?+
The chart on this page uses a deterministic simulated candle series; it is not market prices or trading results.
Using Average Directional Index in an EA, and further reading
Turn Average Directional Index into an automated EA
An indicator draws signals, but when to enter, where to stop out and how much to risk are still your set of rules. Send those rules and DinexSpace builds them into an EA.
