A plain-English explainer — then the honest backtest, because knowing what it is isn't the same as knowing whether it works.
ADX — the Average Directional Index — measures how strong a trend is, regardless of direction, on a 0–100 scale. A common rule of thumb treats readings above 25 as a 'real' trend and below 20 as directionless chop.
ADX is rarely used alone. It's a filter: traders only take their entries when ADX confirms a trend exists, aiming to skip the sideways markets where trend strategies bleed out.
Honestly tested, an ADX filter helps some strategies and barely moves others — it's a useful condition, not a strategy by itself. The breakout-style uses score higher than the plain filter.
Does ADX (trend strength) actually work?
Don't take the textbook's word for it — see the honest, survivorship-free score.
See the honest backtest →the ADX trend filter · the ADX breakout · the ADX + EMA combo · all strategies →
ADX — the Average Directional Index — measures how strong a trend is, regardless of direction, on a 0–100 scale. A common rule of thumb treats readings above 25 as a 'real' trend and below 20 as directionless chop. ADX is rarely used alone. It's a filter: traders only take their entries wh
On its own, ADX (trend strength) is an indicator, not a guarantee. We backtested the strategies built on it with survivorship-free data — see the honest scores linked below.
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Educational, not financial advice. An honest backtest score measures whether a result survives statistical scrutiny — it does not predict future profit, and is not a buy or sell signal. · About · FAQ · All strategies