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Writer's pictureDalton Smith

Why the DMI/ADX/Key level indicator is your key to leveling up your scalping game.

If you follow me on social media at The Forex Help Group or on line at oMoDalton.com, you will gather one sure thing about me. I love Forex Trading. There is something about currency that grabs me in a way that indices, stocks and metals just cant. The other thing you may not know about me is that I am a control freak. When I am sitting and ready to trade, I don't want to sit and look at unmoving charts. I like to see the currency moving quickly. It's like watching a good Football game to me, the way the bulls and bears are fighting each other. It makes me want to jump in and join the fight.


The issue with scalping, and any other trading style for that matter, is the fact that the banks are always on the other side of things trying steal what would have otherwise been a good trade. Bank manipulation is a killer, and it happens fast on the lower timeframes. How many times have you boxed in the market with correct support/resistance and then have it go the completely the opposite direction.


Enter the DMI/ADX/Key level Indicator

DMI/ADX/Key level Indicator you're asking? Well, allow me to introduce you. The Demon, as it is affectionately called in the trading circles, is a tool that shows who is in control of buy or selling power. It does this with four lines. Rather than explain it with 10,000 words, watch this video real quick and come back.


As you can see, this is a powerful indicator. Now, I don't use it exclusively, but is do use it absolutely. Anytime before I entera trade I make sure that the red and green lines have crossed, signaling a change in direction. I want to say that it is essential to use other indicators and skillsets with this indicator, but when looking for bank fake outs, this is the ultimate searchlight to expose those sneaky little boogers.


Other Indicators That Help

How Do You Move Forward From Here?


Go to Trading View and check out this indicator. Go to the Forex Help Group on Facebook and get plugged in. Become a member at oMoDalton.com to stay up to date on what is new in trading. Remember, If you need help with your trading and are ready to go to the next level, book a meeting with me here and we will get you racking up pips like a pro.


SEE YOU IN THE CHARTS!





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