RE: Steemit Crypto Academy | Season 3 | Week 7 [Homework post for Professor @kouba01] Trading Crypto with Average Directional Index (ADX) Indicator
Hello @huzaifanaveed1,
Thank you for participating in the 7th Week Crypto Course in its third season and for your efforts to complete the suggested tasks, you deserve a 7.5/10 rating, according to the following scale:
Originality | Compliance with topic | Consistency of method | Quality of analysis | Clarity of structure & language |
---|---|---|---|---|
My review :
Good content article in which you covered the topic in all its aspects where the answers were clear. I have some notes:
A simplified and understandable explanation of the indicator and its use.
The final operation is ADX = Sum of n [((DI +) - (DI-)) / ((DI +) + (DI-))] / n, So to get the correct ADX result, you need to calculate DX values for at least n periods then smooth the results.
Your answer on how to extract false signals and identify breakout points with ADX indicator was not deep in terms of analysis and illustrative examples.
A superficial explanation of two ways to trade the ADX indicator, as you confined to stating generalities without going into more details.
Thanks again for your effort, and we look forward to reading your next work.
Sincerely,@kouba01