Skip to content

ADX — Average Directional Index Trading Series

The ADX trading series represents the Average Directional Index (ADX), a popular indicator that measures the strength of a trend, without regard to its direction. Higher ADX values indicate a stronger trend.

It is built upon the ADX indicator implementation from the indicators module.

Parameters

ADX(
    ticker: str,
    smoothing_length: int = 14,
    length: int = 14
)

  • ticker (str): The symbol of the asset (e.g., "AAPL").

  • smoothing_length (int): Number of periods used for smoothing the ADX line. Default is 14, which is a common setting in technical analysis.

  • length (int): The lookback period over which the +DI and -DI are calculated before smoothing. Default is 14, which is a common setting in technical analysis.

Description

The Average Directional Index is used to quantify the strength of a trend. - ADX above 25 generally indicates a strong trend. - ADX below 20 may suggest a weak trend or range-bound market. - It does not indicate the direction of the trend — only the strength.

Example Usage

ADX(
    ticker="AAPL",
    smoothing_length=14,
    length=14
)

This creates an ADX Trading Series for AAPL using a 14-period length and 14-period smoothing. Using get_data() and passing a downloader instance and a DataFrame will return the ADX values for the specified ticker.