Tezos (XTZ)

Current price: $ 1.07

24 hours price change: $ -0.001000 (-0.09%)

Tezos - Average Directional Index

The Average Directional indicator (or ADX) is a directional trading indicator that is used to identify a technical trend, in this case of the Tezos. The trend that is being identified, can be both a positive trend as a negative trend in the pricedevelopment of Tezos.

The ADX was primarily developed for commodities, however it is also in use for stock and currency technical analysis, as well as for Tezos. In this continuously updated article, we will explain the meaning and current trend of Tezos. The current ADX analysis is based on the historical prices of Tezos until September 21st, 2019.

In the chart below, the strength the trend is drawn, as well as the positive and negative directional indicators. The ADX (Average Directional Index) is the black line. The positive directional indicator (+DI) is the green line, and the negative directional indicator (-DI) is drawn in red.

Price chart for Tezos from 03/24/2019 until 09/21/2019.

In the chart above, the development of the price for Tezos is shown for the period from 03/24/2019 until 09/21/2019. This same timeframe has been used in the average directional indicator chart below.

Average directional indicator for Tezos until 09/21/2019.

In the charts above, you can see the trends of the ADX, +DI and -DI. The current values of these three indicators for the Tezos are listed in the table below.

Tezos average directional index 13.06
Tezos positive directional indicator 46.86
Tezos negative directional indicator 43.93

 

Several signals can be gained from the chart above. First of all, the green line gives us an indication of the positive trend. The opposite line, the red one, indicates the negative trend for Tezos.

When the green line tops the red line, the Tezos is in a positive trend. However, when the situation turns around, the trend has also changed to a negative trend for Tezos.

Furthermore, the black line gives the strength of the current trend of Tezos, both positive and negative. The higher the black line (ADX), the stronger the trend.

Tezos ADX score

The Average Directional Index (ADX) is used to measure the strength or weakness of a trend, not the actual direction. In general, when the positive directional indicator is higher than the negative directional in indicator, the trend of Tezos is assumed to be positive. An important signal is when the -DI (red line) and +DI (green line) crosses over.

The Tezos currently follows a positive trend. For Tezos, the positive directional indicator is 46.86. The value for the negative directional indicator is lower (43.93). This means that the current trend of the Tezos is positive.

To measure the strength of the current trend, we look at the ADX. The value of the ADX for Tezos  is 13.06, meaning that the trend is very weak. The ADX for Tezos does not give us a good indication to start buying or selling Tezos.

To get a good signal to buy Tezos, we have to wait until the trend gives us a higher ADX value in the current positive trend.