Investor Education Momentum Indicators Minus Directional Movement

Financial Indicator

Equity momentum-indicators tool provides you with the Momentum Indicators execution environment for running Minus Directional Movement indicator against Equity. Momentum indicators of Equity are pattern recognition functions that provide distinct formation on Equity potential trading signals or future price movement. Analysts can use these trading signals to identify current and future trends and trend reversals to provide buy and sell recommendations. Please specify Time Period to run this model.

The Minus Directional Movement indicator shows the difference between two consecutive lows of Investor Education price series.. View also all equity analysis

Minus Directional Movement In A Nutshell

When looking for a potential market trend, you want to ensure the data points are crossing above 20 to 25, as that can be more indicative of a potential change in the market. The minus directional movement aspect of this indicator shows the market may be trending bearish if the minus is above the positive directional movement and they cross above the 25 mark on the indicator.

This particular data point on its own is minimal, as it is apart of a larger indicator called the Directional Movement Index or DMI for short. There are three different lines in the DMI and the minus direction movement is one of them that helps traders determine direction in the market. DMI is measured using a range of 0 to 100 and fluctuates as the market moves.

Closer Look at Minus Directional Movement

The data point should be used with the DMI as a whole for the full effect. If you want to understand how the tool works fully, understand the data points that go into the equation and pick apart the variables. There are many tools that can help you narrow your search and assist in identifying the best indicator for your trading style. MacroAxis has a plethora of tools to help you in your research.

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