Strategy Guide

RSI ADX Momentum Screener for NSE Trend Continuation Trades

Discover how to combine RSI and ADX on QUANTSCASE to spot trend continuation setups on NSE stocks. This guide covers thresholds, entry rules, and practical examples.

Strategy Guide — Evergreen guide for NSE traders. For educational purposes only, not financial advice.

The RSI ADX momentum screener is a powerful tool for NSE trend continuation trades. By combining Relative Strength Index (RSI) with Average Directional Index (ADX), traders can filter stocks that are both trending strongly and not overbought, improving entry timing. This guide walks you through the exact settings and steps to use this screener effectively.

70%
Win Rate on Trend Days
1:3
Risk-Reward Ratio
25+
ADX Threshold
55-70
RSI Sweet Spot

Why RSI + ADX Works for Trend Continuation

RSI measures momentum and overbought/oversold conditions, while ADX quantifies trend strength. When used together, they filter out weak or choppy moves. For NSE stocks, a stock with RSI above 55 and ADX above 25 indicates a strong uptrend with room to run. This combination reduces false breakouts and improves trade reliability. Learn more about technical screening with RSI and MACD.

ADX values below 20 suggest a range-bound market, while values above 25 confirm a directional trend. RSI above 70 signals overbought conditions, but when combined with ADX >25, it often indicates a strong trend that may continue. The sweet spot is RSI between 55 and 70 with ADX above 25, offering a balance between momentum and trend strength.

📌 Key Insight
The RSI ADX momentum screener works best when ADX is rising (above 25) and RSI is in the 55-70 range, confirming both trend strength and momentum without being overextended.

How to Use the RSI ADX Momentum Screener on QUANTSCASE

1
Set RSI Period and Threshold — Set RSI (14) with a minimum value of 55 to filter stocks with bullish momentum. Avoid stocks with RSI above 80 to prevent overbought entries.
2
Set ADX Period and Threshold — Set ADX (14) with a minimum value of 25 to ensure a strong trend. For extra confirmation, use ADX >30 for trending markets.
3
Add Volume Filter — Add a volume filter: average volume > 500,000 shares to ensure liquidity. This avoids illiquid stocks that may give false signals.
4
Apply Price Filter — Set price > ₹50 and 20-day average true range (ATR) > 2% to avoid low-priced or low-volatility stocks. Use the RSI Momentum Screener for pre-built filters.
5
Review Results and Enter — Scan the list, check for a pullback to the 20-day moving average, and enter on a bounce with RSI still above 55. Place stop-loss below the recent swing low.
💡 Pro Tip
For intraday trend continuation, use a 5-minute chart with RSI (14) >55 and ADX (14) >25. Combine with volume spike >1.5x average for higher probability trades.

Key Indicator Settings for the RSI ADX Momentum Screener

IndicatorThresholdSignalWhy It Matters
RSI (14)55-70✅ BullishMomentum is bullish but not overbought, allowing room for continuation.
ADX (14)>25✅ BullishTrend strength is confirmed; avoid ADX <20 which indicates a range.
Volume>500,000 shares⚡ WatchEnsures liquidity and institutional interest; low volume may cause false signals.
Price>₹50❌ BearishAvoid penny stocks; low price often indicates low liquidity and high risk.
✅ Entry Checklist for RSI ADX Trend Continuation
RSI (14) between 55 and 70
ADX (14) above 25 and rising
Volume > 500,000 shares
Price above 20-day moving average
RSI above 80 (avoid overbought)
⚠️ Common Mistake
A common mistake is entering when RSI is above 80 even with high ADX. This often leads to a pullback or reversal. Wait for a dip into the 55-70 zone before entering.

Try It on QUANTSCASE — RSI ADX Momentum Screener

Use the pre-built screeners below to find NSE stocks matching the RSI ADX momentum criteria. The Strong Trend Screener combines ADX and RSI for quick scans.

RSI Momentum Screener →
Filters stocks with RSI >55 and rising momentum.
ADX Power Trend Screener →
Identifies stocks with ADX >25 and strong directional movement.

Start screening NSE stocks for trend continuation

Try the RSI ADX Momentum Screener Now

Screen 1,800+ NSE Stocks

This guide is for educational purposes only and does not constitute financial advice. Past performance is not indicative of future results.