Directional movement index (DMI)
Upward against downward movement (+DI and −DI), with ADX for the strength of the trend.
Formula
+DM = today's up-move when it beats the down-move, −DM the mirror +DI = 100 × RMA(+DM) ÷ RMA(True range), −DI likewise ADX = RMA of 100 × |+DI − −DI| ÷ (+DI + −DI)
How to read it
+DI above −DI: buyers in control. ADX tells how strongly, whichever side.
How to use it
A DI crossover with a rising ADX above 20 is a classic trend entry.
In Kereon
Charts · Superchart. DI length 14, ADX smoothing 14, a reference line at 20.
Also called: +di, -di, directional movement.