Description
The Directional Movement Index (DX) is an intermediate result in calculating of the Average Directional Index (ADX) that was developed by J. Welles Wilder to evaluate the strength of a trend and to define a period of sideway trading. The Directional Movement index is based on the positive and negative Directional indicators and is used to spot crossovers of positive and negative directional indicators – when bullish/bearish change of power takes place.