Cheat Sheets

Market Structure

Trend, persistence & direction — ordered decision tree. ADX, DI, and Hurst thresholds, structure states, and a live QQQ example on one page.

Regime Intelligence2 min read
RI™ Cheat Sheet Series
Market Structure
Trend, persistence & direction — ordered decision tree
01
Series

How to read: A market-structure engine: ADX, +DI/−DI, and Hurst feed an ordered decision tree. The first matching rule sets the tag, bar color, directional read, and footer — not the raw indicator values alone.

ADX (14)
Is there a real trend?

Trend strength on a 0–100 scale (Wilder period 14 (~27–28 bars effective memory)), regardless of direction. High = conviction in the move; low = chop.

DI+ / DI−
Which direction has dominated?

Wilder-smoothed upward vs downward movement (Wilder period 14 (~27–28 bars effective memory)). +DI above −DI means upward movement has been stronger lately.

Hurst
Will it continue?

Variance-ratio persistence proxy (0–1), rolling window max(medium horizon, 20 bars). Bands are provisional — not yet calibrated to this proxy (not classical R/S Hurst). Low = mean-revert bias; high = persistence bias. Modulates confidence — only < 0.45 blocks trending.

Thresholds

ADX LevelRead
< 20No trend
20 – <25Forming
25 – 50Trending*
> 50Extreme
DI GapRead
≥ 3Clear side
< 3Mixed / tied
HurstRead
< 0.45Mean revert
0.45 – 0.55Neutral band
> 0.55High persistence

*Trending: ADX ≥ 25, clear DI side (gap ≥ 3), Hurst available and ≥ 0.45. Hurst < 0.45 blocks trending. Hurst 0.45–0.55 → trending with Medium confidence. Hurst missing → hurst unavailable.

Ordered decision tree

1ADX < 20›No trend
2Hurst < 0.45 · ADX ≥ 25›Unstable trend
3Hurst < 0.45›Mean revert
4ADX≥25 · gap≥3 · Hurst≥0.45›Trending
5ADX 20–<25›Forming
6ADX≥25 · gap<3›Direction handoff
7ADX≥25 · Hurst missing›Hurst unavailable

Bar Color

Gray
No trend / mean revert
Green
Bullish directional pressure (Wilder-smoothed)
Red
Bearish directional pressure (Wilder-smoothed)
Amber
Handoff / unstable / Hurst unavailable

Tags & Footer Copy

State (when)TagFooter shown
ADX < 20no trendRange-bound — levels matter more than direction
Hurst < 0.45 · ADX < 25mean revertingMean-reverting structure — extremes have often snapped back; levels matter
Hurst < 0.45 · ADX ≥ 25unstable trendElevated ADX, weak Hurst — moves may not persist
ADX 20–<25trend emergingTrend forming — wait for ADX/Hurst confirmation
ADX≥25 · gap<3direction handoff+DI and −DI converging — possible direction handoff; watch for crossover
ADX≥25 · Hurst missinghurst unavailablePersistence read unavailable — Hurst missing on this timeframe
Trending · Hurst 0.45–0.55trend establishedTrend present — persistence not fully confirmed (Hurst in neutral band)
Trending · Hurst > 0.55 · ADX 25–50trend establishedEstablished trend — ADX and persistence aligned on this timeframe
Trending · ADX > 50extreme trendLate-stage trend — ADX very elevated; strength often mean-reverts from here

Confidence Layer

ConditionConf.Footer (trending)
Trending + Hurst > 0.55 + strong/extreme ADXHighEstablished trend — ADX and persistence aligned on this timeframe
Trending + Hurst 0.45–0.55MediumTrend present — persistence not fully confirmed (Hurst in neutral band)
Direction handoff (DI converging)Handoff+DI and −DI converging — possible direction handoff; watch for crossover
No trend / revert / forming / Hurst missingLowuses the state footer at left

Hurst gates confidence, not direction: only Hurst < 0.45 blocks trending. The 0.45–0.55 band yields Medium confidence while ADX and DI still show trend.

Live Example — QQQ, all 5 timeframes · as of 2026-06-20

15Mno trendADX 18.7 · DI+ 29.8 / DI− 20.9
1Htrend emergingADX 21.1 · DI+ 24.5 / DI− 16.3
4Hno trendADX 15.3 · DI+ 34.5 / DI− 30.9
1Dmean revertingADX 24.5 · Hurst 0.44
1Wtrend establishedADX 25.5 · DI+ 34.4 / 18.8 · Hurst 0.52

Descriptive context built from price action and published indicators — not a recommendation to buy or sell any security. Markets guarantee nothing. Educational use only. Not investment advice.

RI™ Cheat Sheet Series · No. 01 · v1.2 · Aug 2026

Number one in the RI Cheat Sheet Series. Market Structure is the one-page reference for how Regime Intelligence classifies trend, chop, unstable trend, direction handoff, and Hurst-unavailable states — on every timeframe. Download it, keep it next to your charts, and read any structure tag in seconds.

What's inside

  • The three indicators — ADX (is there a trend?), DI+/DI− (which direction has dominated?), and Hurst (will it continue?).
  • Exact thresholds and the ordered decision tree the engine uses.
  • Bar colors, tags, footer copy, and the confidence layer.
  • A live QQQ example across all five timeframes.
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Informational only — not investment advice. Engine data as of publication date; live reads may differ. Disclaimer.

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