Question: How to trade with the ADX indicator?

Question: How to trade with the ADX indicator?

Answer

There are two types of strategy:Opening a deal at the moment the price exits the flat. A flat is identified by finding the main indicator line below 20% and its horizontal movement. Distances between +DI and -DI are minimal. The deal is opened after the intersection of +DI and -DI with the exit of the index line from the "0-20" zone.Opening a trade at the time of a potential price reversal. The signal is the intersection of +DI and -DI when the index line reverses down in the 40-60% zone.The second strategy is considered less reliable, since instead of a trend reversal after local consolidation, it may continue.