This ADX Swing Trading Strategy is based on the ADX Indicator. The ADX indicator forex free strategy trading the strength of a trend and can be useful to determine if a trend is strong or weak.
ADX will not tell you if the trend is up or down-it just tells you the strength of the current trend, whether it be uptrend or downtrend. High readings indicate a strong trend and low readings indicate a weak trend. When this indicator is showing a low reading then a trading range is likely to develop. Avoid trading currency pairs with low readings! You want to be trading pairs that have high readings. Trying to trade according to these two lines is your surest way to lose money-and its even more confusion.