OPEN-SOURCE SCRIPT
Aggiornato ADX Extreme Zones + Divergences [tradeviZion]
ADX Extreme Zones + Divergences [tradeviZion]
📖 Introduction
The ADX Extreme Zones + Divergences [tradeviZion] indicator plots the standard ADX line, highlights extreme readings with a separate colour, and draws optional ADX-versus-price pivot divergences. The study centres on two ideas Larry Williams highlighted as long-term tops and bottoms contexts: very high ADX readings and price/ADX divergences.
📚 Theory Behind The Indicator
Larry Williams describes ADX as a measure of trend strength. Two ADX-only behaviours are used as long-term setups in his work:
ADX Above 60
Readings above 60 are rare. Larry treats them as a major signal: in declines an ADX > 60 marks an excellent buying area; in rallies it warns that a top is near. The script paints the ADX line in the extreme colour at or above the user-defined level (default 60) and draws a dotted reference line at that level.
Divergent Signals on ADX
Larry also looks for divergences between price and ADX: new price highs not matched by new ADX highs, or new price lows not matched by new ADX lows. The script offers an optional pivot-based engine that marks regular and hidden ADX divergences vs. price.
🎯 Quick Start
⚙️ Settings
The indicator uses 4 settings groups:
📋 Group 1: ADX
DI length
Default: 7 | Min: 1. Smoothing length for +DI / −DI and directional-movement inputs.
ADX smoothing
Default: 7 | Min: 1. Length for the final ADX RMA stage. Set equal to DI length for the classic single-length DMI; different values let you tune how quickly the ADX line smooths independently of DI.
📋 Group 2: Levels
ADX extreme (highlight ≥)
Default: 60 | Range: 1-100. ADX line switches to the extreme colour at or above this value.
ADX cutoff (line)
Default: 40 | Range: 1-100. Optional reference line at the trend cutoff.
Show cutoff line / Show extreme line
Defaults: On / On. Toggles for the two horizontal reference lines.
📋 Group 3: ADX divergence
Show ADX divergences
Default: On. Master toggle for the pivot-based divergence engine.
Pivot left bars / Pivot right bars
Defaults: 5 / 5. Pivot width before a swing is confirmed. Larger right bars = later confirmation, fewer shifts.
Min / Max bars between pivots
Defaults: 5 / 60. Allowed spacing between consecutive confirmed pivots.
Sensitivity %
Default: 2.0 | Range: 0.1-10.0. Required separation between pivot legs.
Fast pivot confirm
Default: On. Forces one-bar right confirmation. Faster, but signals can shift more until the pivot finalizes.
Regular bullish / Regular bearish
Defaults: On / On. Toggle and recolour each divergence family.
Hidden bullish / Hidden bearish
Defaults: Off / Off. Optional hidden divergences (price trend continuation context).
Divergence line width
Default: 2 | Range: 1-4.
Divergence label text
Colour for the Bull / Bear / H Bull / H Bear labels.
📋 Group 4: Display
ADX normal
Colour for the ADX line below the extreme level.
ADX extreme
Colour for the ADX line at or above the extreme level.
🔔 Alerts
⚠️ Notes
Credits
Implements Larry Williams' ADX +60 reading and ADX/price divergence concepts as described in his commodity trading material.
📖 Introduction
The ADX Extreme Zones + Divergences [tradeviZion] indicator plots the standard ADX line, highlights extreme readings with a separate colour, and draws optional ADX-versus-price pivot divergences. The study centres on two ideas Larry Williams highlighted as long-term tops and bottoms contexts: very high ADX readings and price/ADX divergences.
📚 Theory Behind The Indicator
Larry Williams describes ADX as a measure of trend strength. Two ADX-only behaviours are used as long-term setups in his work:
ADX Above 60
Readings above 60 are rare. Larry treats them as a major signal: in declines an ADX > 60 marks an excellent buying area; in rallies it warns that a top is near. The script paints the ADX line in the extreme colour at or above the user-defined level (default 60) and draws a dotted reference line at that level.
Divergent Signals on ADX
Larry also looks for divergences between price and ADX: new price highs not matched by new ADX highs, or new price lows not matched by new ADX lows. The script offers an optional pivot-based engine that marks regular and hidden ADX divergences vs. price.
🎯 Quick Start
- Add the indicator to the chart (renders in its own pane).
- Watch the ADX line for trend strength. When it reaches or crosses the extreme level, the line switches to the extreme colour.
- Optional dotted/dashed reference lines mark the cutoff (default 40) and the extreme level (default 60).
- Enable ADX divergences to mark regular bullish/bearish divergences between ADX and price. Hidden divergences are off by default.
- Use alerts for divergences and for ADX crossing into / out of the extreme zone.
⚙️ Settings
The indicator uses 4 settings groups:
- 1. ADX
- 2. Levels
- 3. ADX divergence
- 4. Display
📋 Group 1: ADX
DI length
Default: 7 | Min: 1. Smoothing length for +DI / −DI and directional-movement inputs.
ADX smoothing
Default: 7 | Min: 1. Length for the final ADX RMA stage. Set equal to DI length for the classic single-length DMI; different values let you tune how quickly the ADX line smooths independently of DI.
📋 Group 2: Levels
ADX extreme (highlight ≥)
Default: 60 | Range: 1-100. ADX line switches to the extreme colour at or above this value.
ADX cutoff (line)
Default: 40 | Range: 1-100. Optional reference line at the trend cutoff.
Show cutoff line / Show extreme line
Defaults: On / On. Toggles for the two horizontal reference lines.
📋 Group 3: ADX divergence
Show ADX divergences
Default: On. Master toggle for the pivot-based divergence engine.
Pivot left bars / Pivot right bars
Defaults: 5 / 5. Pivot width before a swing is confirmed. Larger right bars = later confirmation, fewer shifts.
Min / Max bars between pivots
Defaults: 5 / 60. Allowed spacing between consecutive confirmed pivots.
Sensitivity %
Default: 2.0 | Range: 0.1-10.0. Required separation between pivot legs.
Fast pivot confirm
Default: On. Forces one-bar right confirmation. Faster, but signals can shift more until the pivot finalizes.
Regular bullish / Regular bearish
Defaults: On / On. Toggle and recolour each divergence family.
Hidden bullish / Hidden bearish
Defaults: Off / Off. Optional hidden divergences (price trend continuation context).
Divergence line width
Default: 2 | Range: 1-4.
Divergence label text
Colour for the Bull / Bear / H Bull / H Bear labels.
📋 Group 4: Display
ADX normal
Colour for the ADX line below the extreme level.
ADX extreme
Colour for the ADX line at or above the extreme level.
🔔 Alerts
- ADX divergence - regular bullish
- ADX divergence - regular bearish
- ADX divergence - hidden bullish
- ADX divergence - hidden bearish
- ADX enters extreme zone - ADX crosses up through the extreme level.
- ADX exits extreme zone - ADX crosses back down through the extreme level.
⚠️ Notes
- Pivot-based divergences are confirmed after the configured right bars. Marks can shift until the pivot is final.
- ADX measures trend strength, not direction. The extreme colour only signals that the trend has reached an unusually strong reading.
- This indicator is for educational and analytical use. It does not provide trading advice.
Credits
Implements Larry Williams' ADX +60 reading and ADX/price divergence concepts as described in his commodity trading material.
Note di rilascio
ADX Extreme Zones + Divergences [tradeviZion] - V2 release notesUpdated 2026-May-18.
🆕 What's New in V2
- Optional +DI and −DI pane plots (two toggles, default Off).
- Optional translucent extreme-zone fill between ADX and the extreme level when ADX meets or exceeds it (toggle default On).
- New alerts for +DI crossing above −DI (bullish) and −DI crossing above +DI (bearish).
Script open-source
Nello spirito di TradingView, l'autore di questo script lo ha reso open source, in modo che i trader possano esaminarne e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricordiamo che la ripubblicazione del codice è soggetta al nostro Regolamento.
TradeVizion™
For our premium indicators! whop.com/tradevizion/
For our premium indicators! whop.com/tradevizion/
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.
Script open-source
Nello spirito di TradingView, l'autore di questo script lo ha reso open source, in modo che i trader possano esaminarne e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricordiamo che la ripubblicazione del codice è soggetta al nostro Regolamento.
TradeVizion™
For our premium indicators! whop.com/tradevizion/
For our premium indicators! whop.com/tradevizion/
Declinazione di responsabilità
Le informazioni e le pubblicazioni non sono intese come, e non costituiscono, consulenza o raccomandazioni finanziarie, di investimento, di trading o di altro tipo fornite o approvate da TradingView. Per ulteriori informazioni, consultare i Termini di utilizzo.