What is a +Di & -Di?

The +DI and -DI are derived from the Average Directional Index (ADX), a smoothed average of the difference between the +DI and -DI over a specified period. Traders analyze these indicators to decide on market entry and exit points; a rising ADX could suggest a strong trend, while the crossing of the +DI and -DI can signal trend changes.

Should a trader use DMI or Aroon?

The choice between these two hinges on the trader’s focus: if they prioritize detailed trend analysis—then it is best to use DMI; however, for immediate identification of trends—the preferable option would be Aroon.

What does a cross between -Di & -Di mean?

Crosses between these indicators serve as potential trade signals: +DI crossing above -DI: This can be a buy signal; this crossover may indicate that an uptrend is gaining strength. -DI crossing above +DI: This can be a sell signal; this could signal that a downtrend is becoming dominant.