By Islam BarakaDefinitions
In plain terms
It measures the magnitude of directional separation while discarding which line is larger.
Technical
The implementation must freeze aligned DI inputs, zero-sum behavior, readiness, precision, and missing values.
Scope
DX is direction-free; its value cannot tell whether +DI or -DI leads.
Formula
DX = 100 * abs(+DI - -DI) / (+DI + -DI)DX_t=100\frac{|+DI_t-(-DI_t)|}{+DI_t+(-DI_t)}| Symbol | Meaning | Unit |
|---|---|---|
+DI | positive directional indicator | percent |
-DI | negative directional indicator | percent |
Output unit: percent
Examples
- A governed lesson calculates or identifies Directional Index only after its parameters, state, timing, and edge cases are declared.
Common misconceptions
- DX is direction-free; its value cannot tell whether +DI or -DI leads.
Concept relationships
Where this concept is used
Tutorials planned
These catalogued topics use this concept, but their complete build has not shipped yet.
- D07-F02-A04 Important
- D07-F02-A05 Prerequisite
Evidence and governance
- TA-Lib Directional Movement Index Implementation TA-Lib · first party technical publication
Supports: preferred label, short definition, technical definition, formula
Limits: Zero-denominator and compatibility behavior can differ from the Fintech Builder package and must be stated explicitly.
- Reviewed by
- fintech-builder-batch-007
- Last reviewed
- 2026-07-27
- Next review
- 2027-07-27
- Record status
- published