XTRADE.ADX

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AXCEL.XTRADE.ADX function

This function is part of XTRADE functions group which is a collection of several technical indicators for creating technical trading rules. XTRADE.ADX produces the Average directional movement Index (ADX) developed by J. Welles Wilder. ADX is an indicator of trend strength in a series of prices of a financial instrument

Disclaimer:

Due to many factors, over which we have no control, performance and/or outcomes may differ substantially from any estimates, projections or predictions that have been made by our services or functions. We use several software and services from sources believed to be reliable, however accuracy and completeness cannot be guaranteed. Loss of all or part of the original capital invested in an investment or investment strategy derived by these functions and/or services may occur. Any investments and/or transactions implied by our services or functions are done at your own risk.

Syntax

AXCEL.XTRADE.ADX(stockprice, [n], [dateFormat], [plot])


The AXCEL.XTRADE.ADX function syntax has the following arguments:

stockprice Required. This is a table of stock prices. The format must be a table of five or six columns, including time/date, Open, High, Low, Close, and Volume (optional), respectively. Here is an example:

DateOpenHighLowCloseVolume (optional)
08/24/2020120.22121.10119.98120.10137097800
08/25/2020121.88122.54121.33121.6595822300
08/26/2020121.45121.78119.66119.68105196700

Open and Volume are not considered in calculations and will be used for visualization only. The name of the columns is not restricted. However, the user must provide data columns in the same order presented before.

n Optional. it is the number of periods to use for DX (Direction Index) calculation (not ADX calculation).

dateFormat Optional. If the date in Date columns is Excel standard date format, you do not need to provide any format, and Axcel will automatically identify the date format and applies the conversion. However, if the date is provided in TEXT format, you should define the dateFormat for appropriate conversion. Here are the elements of the date format:

/ or - : Separators
%d: day
%m: month
%y: 2-digit year (for example 98 or 07)
%Y: 4-digit year (for example 1998 or 2007)

Here are some examples of date format:

for "08/22/2019" : "%m/%d/%Y"
for "19/08/22" : "%y/%m/%d"
for "2019-08-22" : "%Y-%m-%d"

plot Optional. The default is FALSE. If you set it TRUE, Axcel provides you an advanced interactive visualization showing a candlestick chart (if you provide HLC data as explained above), ADX, the positive direction index (DIp), and the negative direction index (DIn).

Here is an example without Volume:

and if you provide Volume column, it will be included in your graph as example below:

when you type =AXCEL.XTRADE.ADX the Intellisense guides you through required and optional (shown in brackets []) entries as shown below:

In this example, we have:

=AXCEL.XTRADE.ADX(A1:E300, 20,,TRUE)

which means that our data is located at cells from A1 to E300, we set the number of periods for calculation of direction index (DX) to 20 days. Also, since we use Excel standard date format, we skipped the date format entry and we would like to have visualization by setting the plot to TRUE. Here is the outcome:

As presented above, Axcel generates ADX and reports them in columns DIp (the positive direction index), DIn (the negative direction index), DX (the direction index), and ADX (the directional movement index). Also, the outcome is visualized in the task pane and ready to be expanded in your browser. In this example, since this function needs a minimum of 20 days of historical records for calculation (we set n to 20), the first 19 records (39 for ADX) show NA after execution.

See also: All other AXCEL.XTRADE functions.