Users of MetaTrader 4 have weekday candles as a trend trading indicator. This indicator makes it easier for novices to use the popular trend indicator “Heikinashi”.
Heikin Ashi Candle can generate accurate trend signals for stock, commodity and cryptocurrency charts. This indicator is a great tool for analyzing market trends on MTF charts. Traders can use it on all timeframes, from daily charts to 1-minute charts on the MT4 platform. You can use a trending indicator and follow both intraday and scalping trades.
The indicator also provides real-time trend signals, allowing you to evaluate potential buy-sell opportunities in key swing areas. It allows you to focus on swing trading opportunities and breakouts even during volatile market conditions. It can be used as a standalone indicator or added to any trend-based forex trading strategy to upgrade trading plans.
How to use the HeikinAshi candle trend indicator to identify buy-sell opportunities
Heikin Ashi candlesticks are plotted differently than regular price candlesticks. In general, regular MT4 candlesticks do not depend on previous candlestick data when plotting new candlesticks. These candles are independent and reflect only the current price behavior.
On the other hand, Heikin Ashi depends on the average opening/closing price of the previous bar when opening a new candlestick. This chart shows a series of changes in price action and can be used to identify reversals of market trends.
A bullish market trend is indicated by a green candle with a long upper tail and a long lower shadow. Conversely, a red candle with a long shadow line drawn by the indicator would indicate a bearish trend. A change in the color or shape of the candle indicates a possible reversal of the current trend conditions.
In sensitive market conditions, the Haginas signal allows you to make a decision between selling or buying options. A bullish Haginas indicator bar will appear after a doji candle. This indicates an uptrend in price movement. A green/red seagold candle will appear when price breaks through a key support/resistance area. This helps you to identify key breakout trading opportunities.
Heikin Ashi is a simple trend analysis tool that is popular with millions of traders worldwide. Thanks to the black and gold candles, this indicator is easy to use for beginner traders. It takes some practice to learn how the indicator reacts in different market situations. Once you have mastered the indicator, it can be used to create your own trend trading strategies.