{Gunzo} Heiken Ashi RibbonsHeiken Ashi Ribbons is a trend-following indicator which gives entry and exit points for short-term, medium-term and long term trading (using Exponential Moving Averages and Heiken Ashi formulas).
OVERVIEW :
The Heiken Ashi Ribbons indicator is composed of 3 moving average ribbons (slow, normal and fast) that are computed using the Heiken Ashi formulas. The 3 ribbons give a clear vision of the current trend as they use moving averages that smooth out the price and filter noise from short term fluctuations. In a simplified way, you can consider each ribbon as a moving average with a larger body size.
If the price is above the slow ribbon, we consider the asset as trending up in the short term (trending down otherwise). If the price is above the fast ribbon, we consider the asset as trending up in the long term (trending down otherwise).
CALCULATION :
First of all, to compute a ribbon for this indicator we calculate a moving average (EMA by default) for common sources (OHLC) :
EMA (open), EMA (high), EMA (low), EMA (close)
We then apply the Heiken Ashi formulas to the moving averages calculated previously.
HA (open) = HA (open) previous + HA (close) previous
HA (close) = ( EMA (open) + EMA (high) + EMA (low) + EMA (close) ) / 4
HA (high) = max( EMA (open), EMA (close), EMA (high) )
HA (low) = min ( EMA (open), EMA (close), EMA (low) )
The ribbon displayed (by default) on the chart is the area between HA (open) and HA (close).
SETTINGS :
1st Moving average length : Length of the slow moving average
2nd Moving average length : Length of the normal moving average
3rd Moving average length : Length of the fast moving average
Moving average method : Moving average calculation method (EMA : Exponential Moving Average, SMA : Simple Moving Average, WMA : Weighted Moving Average)
Ribbon type : standard ribbon uses the area between HA (open) and HA (close). Large ribbon uses the area between HA (low) and HA (high)
Display ribbon as candles : change the type of visualization between area and candles
Display short term buy/sell signals : Display short term buy/sell signals (crosses) when the fast moving average and normal moving average are crossing
Display long term buy/sell signals : Display long buy/sell signals (circles) when the fast moving average and slow moving average are crossing
Display ribbon trending up signals : Display ribbon direction change (triangle up) when the trend of the ribbon changes to trending up
Display ribbon trending down signals : Display ribbon direction change (triangle down) when the trend of the ribbon changes to trending down
VISUALIZATIONS :
This indicator has 2 possible visualizations :
Ribbons : the ribbons can be considered as enhanced moving averages for trading purposes. They represent the area between the Heiken Ashi of the moving average of the open and closing price. The color of the moving average line is green when the ribbon is trending up and red when the ribbon is trending down.
Signals : Various signals can be displayed at the bottom of the chart (Buy/Sell signals, Ribbon direction changes signals).
USAGE :
This indicator can be used in many strategies, just like when you are using multiple moving averages. You should test these strategies and use the one that best fits your trading style.
Strategy based on crossovers :
When the fast ribbon crosses above the normal ribbon, it is a short term buy signal (it is recommended to wait for a confirmation)
When the fast ribbon crosses under the normal ribbon, it is a short term sell signal (it is recommended to wait for a confirmation)
When the fast ribbon crosses above the slow ribbon, it is a long term buy signal
When the fast ribbon crosses over the slow ribbon, it is a long term buy signal
Strategy based on price position :
When the prices closes above the ribbon, it is a buy signal (long term if above slow ribbon, short term if above fast ribbon)
When the prices closes below the ribbon, it is a sell signal (long term if below slow ribbon, short term if below fast ribbon)
Strategy based on price bouncing :
When the price decreases and reaches the green long term ribbon, the price candles may not be able to cross the ribbon. If the price increases, we consider that move as a bounce on the ribbon, which is a buy signal
When the price increases and reaches a red long term ribbon, the price candles may not be able to cross the ribbon. If the price decreases, we consider that move as a bounce on the ribbon, which is a sell signal
Strategy based on ribbon direction :
When the direction of the ribbon changes, the trend of the asset is changing which may lead to a crossover to the next candles if the trend is continuing in that direction (it is recommended to validate the entry points with a second indicator as this strategy may have some false signals).
Ashi
Awesome Heikin Ashi [Morty]This indicator uses Heikin Ashi candles and two EMAs to help you follow the trend and enter the trade. Heikin Ashi candles help to smooth the price and EMAs are used to detect trend. The default parameter of EMA is EMA10 and EMA20. You can use it at any timeframe. You should always adjust the EMA length according to different timeframes.
Features:
- Highlight background based on two EMAs
- Adjustable EMA length
- Adjustable Label size
- Show entry and exit signal labels
- Show stoploss price
- You can choose Long only or Short only or both signals
- Alert functions for notification
NOTE: If you use this signal to enter a trade, make sure the candle is close and enter in the next candle.
Heikin Ashi RSI OscillatorIntroducing HARSI - the RSI based Heikin Ashi candle oscillator.
...that's right, you read it correctly. This is Heikin Ashi candles in an oscillator
format derived from RSI calculations, aimed at smoothing out some of the
inherent noise seen with standard RSI indicators.
Science!
We likes it we does.
Included plot options for standard RSI plot overlay, and a smoothed variant with
it's own seperate length from the candles, oh and histogram option, for reasons.
Articles and further reading:
investopedia.com - RSI
investopedia.com - Heikin Ashi
This is a REALTIME indicator, so any values used for conditions should use
history 1, or alternatively, alerts should be called using once-per-bar-close.
Smoothed Heiken AshiHeiken Ashi with price values smoothed via 14-EMA .
On the example chart you can compare it to a regular Hash using blue for upward trends
NSDT Heiken-Ashi Direction Bar MTFA simple script that places a bar at the bottom of the chart to indicate the direction of Heiken-Ashi candles - while still using traditional candles on the main chart. Try setting the bar on a higher timeframe to see the overall direction of the trend, while using traditional candles for entries/exits.
Trend Indicator A-V2 (Smoothed Heikin Ashi Cloud)"Trend Indicator A-V2" and "Trend Indicator B-V2" are updated and improved versions of my initial trend indicators. Totally rethinking the code, adding highs and lows in the calculations, including some more customisation through colour schemes.
In practice, this indicator uses EMAs and Heikin Ashi to provide an overall idea of the trend.
The "Trend Indicator A-V2" is an overlay showing “Smoothed Heikin Ashi” .
The "Trend Indicator B-V2" uses the same values in a different way to measure the momentum of the trend and identify potential trend rejections.
Please, take into account that it is a lagging indicator.
Trend Indicator B-V2 (Momentum measuring)"Trend Indicator A-V2" and "Trend Indicator B-V2" are updated and improved versions of my initial trend indicators. Totally rethinking the code, adding highs and lows in the calculations, including some more customisation through colour schemes.
In practice, this indicator uses EMAs and Heikin Ashi to provide an overall idea of the trend.
The "Trend Indicator A-V2" is an overlay showing “Smoothed Heikin Ashi” .
The "Trend Indicator B-V2" uses the same values in a different way to measure the momentum of the trend and identify potential trend rejections.
Please, take into account that it is a lagging indicator.
Dziwne Trend Indicator B (EMA + Heikin Ashi) V1Based on my own "Dziwne Trend Indicator A (EMA + Heikin Ashi cloud)" , I tweaked the original script to display and "measure" the overall trend.
Dziwne Trend Indicator A (EMA + Heikin Ashi cloud)First script ever publish.
It is a very simple trend indicator based on EMAs and Heikin Ashi .
Hi-Lo Channel StrategyHaven't seen a strategy quite like it. Buy when Heikin Ashi candle closes above a moving average that is sourced on highs - Sell when Heikin Ashi candle closes above a moving average that is sourced on lows. Moving average length should be between 5 and 20 ideally.
NOTE: the Heikin Ashi close values are calculated when the box is checkmarked. You do not need to view the chart with Heikin Ashi candles enabled on the chart. The buy and sell points of the strategy do not change whether or not you are viewing Heikin Ashi candles on the chart as long as the Heikin Ashi setting is enabled.
Heikin-Ashi MACD"Heikin-Ashi, also sometimes spelled Heiken-Ashi, means "average bar" in Japanese. The Heikin-Ashi technique can be used in conjunction with candlestick charts when trading securities to spot market trends and predict future prices. It's useful for making candlestick charts more readable and trends easier to analyze. For example, traders can use Heikin-Ashi charts to know when to stay in trades while a trend persists but get out when the trend pauses or reverses. Most profits are generated when markets are trending, so predicting trends correctly is necessary."
HA bars help us to smooth the price action, and I think MACD gives me a lot of signals and I need to eliminate them and add MACD strategy on Heiken-Ashi candles to look performance.
Mostly, it eliminates %75 of the signals, and most of the time it did increase backtest performance significantly.
There is still a way to it to combine other indicators for complete strategy, but at least We can achieve better MACD with this approach.
LV Cop&RMA w HeikinA buy signal is generated when the indicator turns upwards from previous indicator level.
A sell signal is generated when the indicator turns downwards from previous indicator level.
The indicator is trend-following, and based on averages, so by its nature it doesn't pick a bottom, but rather shows when a rally has started.
It is designed for daily period use.
Frequent buy/sell signals can occur on low and high levels.
It is designed with the mentality of Coppock curve. Rma is used instead of Wma and Heikin-Ashi closing price is used instead of standard closing price.
Bjorgum EMAThis is an answer back to repeated requests for a simple version of Bjorgum Triple EMA Strat, which is not recommended for use with Heiken Ashi candles as it results in "double smoothing" of the averages and can give late signals as a result.
The inputs are raw and super basic. At its core its really just 3 EMAs that you can customize the source and length. The averages and shadowing change color based on if they are either rising or falling.
default values are 5, 9, and 21 EMA on open as source.
Bar color is dictated by the bar close over or under the 5 and 9 EMA.
This is suitable for use on HA candle.
Composite Any Currency Strength IndexThis is a flexible currency strength indicator and you can adjust it to any currency you wish 'to measure'. By default, it is set to measure USD major pairs. Indicator calculates every pair you list, and plots one composite chart in the form of Heikin Ashi candles. Basically, you will get USD index in this case. Similarly, you can get AUD, EUR, CAD, JPY, CHF, etc indexes by specifying corresponding symbols. Remember about base and quote currencies and location of each for correct calculations. Simple adjustments in the script needed if you want to value USD by using USD in both base and quote (counter) currencies.
For example, when calculating USD strength by looking into USDJPY (not into JPYUSD) symbols, you will need to add minus "-" before corresponding security in the script itself, not in the Settings Inputs.
Default study script (with JPYUSD):
// Inputs
...
string sec3 = input(defval="JPYUSD", type=input.symbol, title="Symbol")
...
h_sec3 = security(heikinashi(sec3), timeframe.period, high)
l_sec3 = security(heikinashi(sec3), timeframe.period, low)
o_sec3 = security(heikinashi(sec3), timeframe.period, open)
c_sec3 = security(heikinashi(sec3), timeframe.period, close)
Adjusted study script with USDJPY:
// Inputs
...
string sec3 = input(defval="USDJPY", type=input.symbol, title="Symbol")
...
h_sec3 = -security(heikinashi(sec3), timeframe.period, high)
l_sec3 = -security(heikinashi(sec3), timeframe.period, low)
o_sec3 = -security(heikinashi(sec3), timeframe.period, open)
c_sec3 = -security(heikinashi(sec3), timeframe.period, close)
Unfortunately, I am not a coder specialist and perhaps someone here could improve this indicator for easier and more friendly adjustments. But thanks to variety of symbols on TradingView , you can ignore any changes in the script, and just use symbols with corresponding counter currency offered by this great platform.
Bollinger Bands, 2 x RMA, 4 x SMA/EMA were added for deeper analysing of the index. Other indicators with ability to select data sources (like CCI, StochRSI, Momentum etc) can be separately added to a current chart, but use Composite Any Currency Strength Index data as the source for analysing displayed pair, i.e. by selecting source - Composite Any Currency Strength Index: SMA Close or EMA HLC.
Thank you and good luck everyone!
Heikin-Ashi Change Strategy/ Indicator
Today I bring you a simple and efficient indicator/strategy based only on HA.
Can be used together with other TA tools or alone.
The idea behind is simple :
We have to forms to calculate the candle, using inner HA candles or normal candles. Once we have that we apply certain rules to get the max high, min low, open and close(ohlc)
With that then we check for changing in the patters like for example
For long close is higher than open and the previos close is lower than open. For short is going to be the opposite of long condition.
For the purpose of this example, I only use long direction and exit once we have the short signal.
If you have any questions, please let me know in private chat !
Modified Smoothed Heiken AshiThis code is based on Smoothed HA candle which will work on all chart types
condition for BUY:
1. When close crosses Smoothed HA
2.Close should be in side upper band
3.BBW must be greater than the average
vice versa for sell
this code takes data from HA chart so that it can be applied on all chart type.
Bollinger band and Bollinger band width conditions added for removal of unwanted signals
Alert added so that you can apply alert and check it in real time performance
thanks to The Secret Mindset You tube channel from where I got the idea to convert this into a pine script indicator
smooth HA taken from "Smoothed Heiken Ashi Candles v1" at //@jackvmk
HeikinAshi Fibonacci Retracement v2It draws Fib retracements based on the highest high measured when HeikinAshi candles are green, and lows based on when HeikinAshi candles are red.
The idea is that you can see the fib retracements based on HeikinAshi trends on a larger timeframe to help trade in smaller timeframes.
for v2 I reset the fib trace when a new high is set and also at the second green heikin candle. And I only show the last 20 bars of fib lines to avoid confusion and focus on the current trade.
Happy trading!
MrBS:EMA/SMA/HMA (Heikin Ashi Calc)This indicator allows you to base the MA calculation from Heikin Ashi values on normal charts and/or the real OHLC values while looking at Heikin Ashi.
There are 3 MA types you can select - EMA / SMA / HMA
The colour is based on the slope.
I made this to help me visualize my DMI+ strategy, when I was looking at taking signals from Heikin Ashi but looking at candlesticks. Turns out, I was going down the wrong road. Now I'm looking into using the real OHLC values for generating signals but watching the Heikin Ashi chart as I find it easier to see trends on it.
Hopefully its useful to some people, and if you have any suggestions for improvements I'd love to know.
MavilimW Strategy MTF EMA with HA CandlesThis is a strategy adapted initially for Mavilim moving average indicator, based on WMA MA.
It seems to works amazingly on long term markets, like stocks, some futures, some comodities and so on.
In this strategy, I form initially the candle, using EMA values, so I take the EMA of last 50 closes, open, highs and lows and form the candle
After this I take interally HA and convert the EMA candle to HA.
Then using the moving averages on multiple timeframes, like in this example we have a chart on 4h, but I use 1h and 1d moving averages.
For long condition we have : close is above moving average timeframe1 and oving average timeframe2 and oving average timeframe3
Initially short would be close below ma timeframe1, ma timeframe2 and timeframe3 -> but here I also convert it into a long signal.
So we actually go only long .
And we have 2 different exits : for first long if we have a crossdown of 1h ma with 1 day ma, and for second long if we have a cross up of 1h ma with 1 day ma in this example.
Message me if you have any questions about this strategy.
Heiken Ashi MTF Strategy- IndicatorHello, this is both a strategy and indicator that revolves around Heikin Ashi candles.
In this case we take 3 different time frames, in this example we use daily , weekly and monthly.
The conditions for entry are :
For long : we check that we have a green daily candle, at the same time we check that the weekly and monthly candles are also green.
For short : We check that all candles, daily, weekly and monthly and red.
For exit of long : as soon as 1 of the 3 candles, daily or weekly or monthly converts to red, we exit.
For exit of short : as soon as 1 of the 3 candles converts to green, we exit.
This strategy- indicator can be adapted to any type of market.
CRYPTO HA Strategy money maker long termToday I bring you another amazing strategy.
Its made of 2 EMA in this case 50 and 100.
At the same time, internaly for candles we calculate the candles using the HA system ( while still using in live the normal candles). This way we can assure that even if we use HA candles, we avoid repainting, and its legit.
We first calculate the HA candles based on the EMA 50 values, and after that , we use that candle properties to apply to EMA 100.
Once we have that, for entries we have the next conditions :
sell = o2 > c2 and o2 < c2 and time_cond
buy = o2 < c2 and o2 > c2 and time_cond
For sell : Our open from HA 100 is bigger than Close from ha 100, and the previous open is smaller than previous close
For long : Our open from ha 100 is smaller than close from ha 100 and the previous open is bigger than previous close.
Then we have 2 options :
If we wnat to go only long , which is my prefered version ,or the original one where we go both long and short.
I found that the best results are in general around bigger timeframes, 1h+ , 3h works the best so far on my tests.
For exit we have 2 versions :
1 lets say we had a long signal, as soon as we have a short signal we close the trade. Viceversa for short.
2. Is based on price % movement. In this case I use 7.5% price movement of asset.
We have no TP in use for this system.
For the purpose of this test I use 10.000 $ account. For test I use 100% of it, without any leverage.
I use the SL based on price movement , which is a very risky tool, since it can fluctuate even at 20-30% of our capital.
For comission I used 0.1% for each deal, and a slippage of 5 points.
Be cautious with this system !
If you have any questions , message me.
Joseph Nemeth Heiken Ashi Renko MTF StrategyFor Educational Purposes. Results can differ on different markets and can fail at any time. Profit is not guaranteed. This only works in a few markets and in certain situations. Changing the settings can give better or worse results for other markets.
Nemeth is a forex trader that came up with a multi-time frame heiken ashi based strategy that he showed to an older audience crowd on a speaking event video. He seems to boast about his strategy having high success results and makes an astonishing claim that looking at heiken ashi bars instead of regular candlestick bar charts can show the direction of the trend better and simpler than many other slower non-price based indicators. He says pretty much every indicator is about the same and the most important indicator is price itself. He is pessimistic about the markets and seems to think it is rigged and there is a sort of cabal that created rules to favor themselves, such as the inability of traders to hedge in one broker account, and that to win you have to take advantage of the statistics involved in the game. He believes fundamentals, chart patterns such as cup and handle and head and shoulders, and fibonacci numbers don't matter, only price matters. The foundation of his trading strategy is based around heiken ashi bars because they show a statistical pattern that can supposedly be taken advantage of by them repeating around seventy or so percent of the time, and then combines this idea with others based on the lower time frames involved.
The first step he uses is to identify the trend direction in the higher time frame(daily or 4 hourly) using the color of the heiken ashi bar itself. If it is green then take only long position after the bar completes, if it is red then take only short position. Next, on a lower time frame(1 hour or 30 minutes) look for the slope of the 20 exponential moving average to be sloping upward if going long or the slope of the ema to be sloping downward if going short(the price being above the moving average can work too if it's too hard to visualize the slope). Then look for the last heiken ashi bar, similarly to the first step, if it is green take long position, if it is red take short position. Finally the entry indicator itself will decide the entry on the lowest time frame. Nemeth recommends using MACD or CCI or possibly combine the two indicators on a 5 min or 15 min or so time frame if one does not have access to renko or range bars. If renko bars are available, then he recommends a 5 or 10 tick bar for the size(although I'm not sure if it's really possible to remove the time frame from renko bars or if 5 or 10 ticks is universal enough for everything). The idea is that renko bars paint a bar when there is price movement and it's important to have movement in the market, plus it's a simple indicator to use visually. The exit strategy is when the renko or the lowest time frame indicator used gives off an exit signal or if the above conditions of the higher time frames are not being met(he was a bit vague on this). Enter trades with only one-fifth of your capital because the other fifths will be used in case the trades go against you by applying a hedging technique he calls "zero zone recovery". He is somewhat vague about the full workings(perhaps because he uses his own software to automate his strategy) but the idea is that the second fifth will be used to hedge a trade that isn't going well after following the above, and the other fifths will be used to enter on another entry condition or if the other hedges fail also. Supposedly this helps the trader always come out with a profit in a sort of bushido-like trading tactic of never accepting defeat. Some critics argue that this is simply a ploy by software automation to boost their trade wins or to sell their product. The other argument against this strategy is that trading while the heiken ashi bar has not completed yet can jack up the backtest results, but when it comes to trading in real time, the strategy can end up repainting, so who knows if Nemeth isn't involving repainting or not, however he does mention the trades are upon completion of the bar(it came from an audience member's question). Lastly, the 3 time frames in ascending or descending fashion seem to be spaced out by about factors of 4 if you want to trade other time frames other than 5/15min,30min/1hour, or 4hour/daily(he mentioned the higher time frame should be atleast a dozen times higher than the lower time frame).
Personally I have not had luck getting the seventy+ percent accuracy that he talks about, whether in forex or other things. I made the default on renko bars to an ATR size 1 setting because it looks like the most universal option if the traditional mode box size is too hard to guess, and I made it so that you can switch between ATR and Traditional mode just in case. I don't think the strategy repaints because I think TV set a default on the multi-time frame aspects of their code to not re-paint, but I could be wrong so you might want to watch out for that. The zero zone recovery technique is included in the code but I commented it out and/or remove it because TV does not let you apply hedging properly, as far as I know. If you do use a proper hedging strategy with this, you'll find a very interesting bushido type of trading style involved with the Japanese bars that can boost profits and win rates of around possibly atleast seventy percent on every trade but unfortunately I was not able to test this part out properly because of the limitation on hedging here, and who knows if the hedging part isn't just a plot to sell his product. If his strategy does involve the repainting feature of the heiken ashi bars then it's possible he might have been preaching fools-gold but it's hard to say because he did mention it is upon completion of the bars. If you find out if this strategy works or doesn't work or find out a good setting that I somehow didn't catch, please feel free to let me know, will gladly appreciate it. We are all here to make some money!
MACD Trend CandlesThe script combines 2 indicators (MACD and Stoch-RSI) and puts them visually directly on the candles - can be used with normal OHLC candles or Heiken Ashi candles. Furthermore, you can derive divergences exremely easy directly visually from the candles as well. Lastly, a SMA 20 high and a SMA 20 low line build a trend channel.
Script is best used in trending markets to trade with the trend.
1) SMA trend channel:
* uptrend: close above
* downtrend: close below
* aggressive entry (uptrend) closing inside channel from below
* conservative entry (uptrend) closing above channel from inside
* hold (uptrend) until close below channel
* can be used accordingly for the downtrend
2) MACD candles
* visualization of the MACD histogram directly on the candles
* dark blue: histogram > 0 and histogram > histogram of previous candle
* light blue: histogram > 0 and histogram < histogram of previous candle
* orange: histogram < 0 and histogram < histogram of previous candle
* light blue: histogram < 0 and histogram > histogram of previous candle
* hold uptrend (dark/light blue candles) - combined with trend channel (above channel)
* hold downtrend (orange /yellow candles) - combined with trend channel (below channel)
* Color divergence: light blue candle > dark blue candle (price and MACD show divergence (bearish)
* Color divergence: yellow candle < orange candle (price and MACD show divergence (bullish)
* Trend change (0 line cross to upside) yellow or orange to dark blue
* Trend change (0 line cross to downside) dark or light blue to orange
3) Stoch RSI diamonds
* visualization of the STOCH-RSI as diamonds above or below the candle
* k, d line > 80: diamond above the candle
* k, d line < 20: diamond below the candle
* divergence caldle without diamond above > candle with diamond above (bearish divergence)
* divergence caldle without diamond below < candle with diamond below (bullish divergence)
Feel free to test each part individually and combine it with other indicators, e.g. BBands and Ichimoku Cloud - you will see it is a powerful visualization script
HAVE FUN
