Identify th start of a Trend with DMI - an evidence

November 2012, Stocks & Commodities

With Pro Real Time, just structure a desk, no particular formulas are needed since you've got in this java software:
- Directional Movements
- ADXs
- Horizontal lines

Set all desk as explained in the articles.

As you can see in the image:

1. DIs give no particular "value-added" to supertrend. Sometimes they seem to give an anticipatory signal, but there are many mistakes, in particular if compared to Supertrend (a too early or erratic exit).
2. Confirms with ADXs bundle is important for confimation, but it gives (expecially alone) few signals and many serious errors
3. ADXs are in late

==> maybe interesting for intraday use, but for daily use they've been rejected!!

Any source