Forex Trading with Heikin Ashi
January 26, 2007 by Trader Rich
There's a new article on Investopedia titled, "Confirm Forex Momentum with Heikin Ashi." Heikin Ashi is just another way of representing candlesticks. For instance, instead of using the actual close for the candlestick close, the Heikin Ashi uses the (High+Low+Open+Close)/4 formula. I read it and threw it on my charts to see if it may be useful to me. I don't use candlesticks at all in my trading at this point and I don't really see the need to use the Heikin Ashi either at this time. You can read the article at http://www.investopedia.com/articles/forex/07/heikinashi.asp
Here are my USD/CHF daily charts with and without the Heikin Ashi.
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