What is FDI?
FDI is an indicator used to see the degree of definition of a trend. The FDI ranges from 1 to 2.
When the FDI is close to 2, it means that there is a maximum randomization so there is not a pattern of definition of any trend
On the other hand, if the value of the FDI is 1, there is a clear shaped and mature trend.
The key of the FDI is to look for an early detection of the trend. That is why we assign a level of 1,5 by default as the optimal timing to throw the signal
You have the possibility to use it the other way round, when it crosses from below to above
This element can also be used as a filter, giving signal while the FDI is below the level 1,5 by default