Heikin-Ashi Metatrader 4 Indicator

Heikin-Ashi candlestick charts look very similar to regular candlestick charts but differs because of the used formula to calculate and draw the candlesticks.

 

Heikin-Ashi Used Formula

Close = (Open+High+Low+Close)/4
Open = [Open (previous bar) + Close (previous bar)]/2
High = Max (High,Open,Close)
Low = Min (Low,Open, Close)

 

Advantages of using Heikin-Ashi candlesticks

Heikin-Ashi candlestick charts react much slower to high volatility than a regular candlestick chart. They tend to significantly reduce the amount of whipsaws/fake signals because of the built-in delay. This creates a great tool to trade highly volatile currency pairs such as the GBP/JPY.

 

EUR/USD Daily Chart Example

 


Attached Files:

Posted By kevincampbell : 21 November, 2020
Related Article

Donchian Bands calculate support and resistance levels based on high/low price of x periods. They are a great tool for trading breakouts in the forex market.   Donchian Bands use a very simple formula to draw the upper and lower band.   Upper Donchian Band: High price of x periods.Lower Donchian Band: Low price of x periods.   Trading Rules BUY: Price breaks and closes above the 20-period upper Donchian Band.SELL: Price breaks and closes below the 20-period lower Donchian Band.   See illustration below for clarification of the entry rules.   EUR/USD 1 Hour Chart Example  

BB MACD MetaTrader indicator — is a basic MACD (Moving Average Convergence Divergence) indicator variation, which helps in detecting the trend change points and measuring the current trend's strength. The indicator is drawn in the separate window on the chart and consists of two lines (blue and red) and the dots, which can be either green or magenta. The change of the dots' color is a good signal provider, while the width of gap between the two lines indicates the strength of the current trend. This indicator is available for MT4 and MT5.   Input parameters FastLen (default = 12) — the period of the fast moving average (the one with the lowest period), which is used in this indicator's dots calculations. SlowLen (default = 26) — the period of the slow moving average (the one with the highest period), which is used in this indicator's dots calculations. Length (default = 10) — the period of the moving average and the standard deviation indicators that are used in this indicator's lines calculations. barsCount (default = 400) — the maximum amount of bars on the chart to apply these calculations to. StDv (default = 2.5) — weight multiplier for the standard deviation indicator in its part in the calculations compared to the moving average. EnableNativeAlerts (default = false) — if true, MetaTrader's native pop-up alerts will be used on BB MACD color change. EnableSoundAlerts (default = false) — if true, sound alerts will be used on BB MACD color change. EnableEmailAlerts (default = false) — if true, MetaTrader's email alerts will be sent on BB MACD color change. Email should be properly configured in MetaTrader via Tools->Options->Email. EnablePushAlerts (default = false) — if true, MetaTrader's push notification alerts will be sent to your device upon BB MACD color change. Notifications should be properly configured in MetaTrader via Tools->Options->Notifications. SoundFileName (default = "alert.wav") — sound file name to play on alert if EnableSoundAlerts is set to true.     As the chart example suggests, the signals to buy are when the magenta dots turn into the green ones and the signal to sell is when the green dots become magenta. Trading is better to be performed when both blue and red lines are rather wide.

This forex indicator paints buy and sell arrows based on price action movements. Use it in agreement with the longer currency trend. For example check the trend on the higher timeframe and trade signals from this indicator in the direction of the trend. Don’t use it in flat markets.   Trading Signals Buy: Wait for the green arrow. Sell: Wait for the pink arrow. Recommended: Trade in the direction of the overall trend.   Indicator Preferences Currency pairs: any Preferred Time frames: Suitable for 5 min charts and above. Sessions: London and US for timeframe’s up to 1 hour, 24 hours/day for timeframe’s above 1 hour.   Configurable Indicator Options Colors,…   EUR/USD Daily Chart Example  


Post your comment