ADMIR Indicator

Introduction to the ADMIR Indicator

The ADMIR indicator is a forex oscillator, that name means Average Directional Movement Index Rating. It reveals the ratio of the ADX lines of two indicators, Average Directional Movement Index along with the calculation periods conflicting by the listed value.

The indicator is displayed in a separate window placed just below the main trading chart.

It fits all kinds of timeframes and currency pairs.

The default indicator settings can be modified directly from the input tab. Feel free to experiment with the settings and parameters to fit your personal preferences. Let’s take a closer look at these inputs below.

ADX Period – defines the period for the first ADX

Difference – defines the difference between the period’s calculation of the first and that of the second ADX

Applied price – represents price used for calculations

The formula for the Average Directional Movement Index Rating indicator:

The calculations of the Average Directional Movement Index Rating indicator are based on the following formula:

ADMIR = (ADX1 + ADX2) / 2

where:

ADX1 – Average Directional Movement Index Period

ADX2 – Average Directional Movement Index Period + Difference

How to use the Average Directional Movement Index Rating:

The price is considered to be bullish when the line of the ADM Index Rating indicator goes up from a sustained low. Similarly, the price is considered to be bearish when the line of the ADM Index Rating goes down from a sustained high.

We do not recommend using that gauge as a standalone trading tool. Rather use it in conjunction with some other technical analysis forex indicators.