Let’s continue comparing the Heikin Ashi (HA) to a traditional chart.
Here are the charts side-by-side…
This is why some forex traders prefer to use the HA candles since it reduces the noise on the chart,
And it allows them to analyze trends more clearly.
What makes HA different from a traditional Japanese candlestick chart is how the price is displayed in terms of the open and the close.
If you look closely at the Heikin Ashi chart, you’ll notice that each of the Heikin Ashi candlesticks starts from the MIDDLE of the candlestick before it.
And not from the level where the previous candlestick had closed.
HA candlesticks “act” this way due to the way they are calculated.
Learn to Trade Currency
If you’d like to earn extra income trading on the Forex market, consider learning how to currency trade with Forex Smart Trade. With their super-accurate proprietary trading tools and best-in-the-business, personalized one-on-one training, you’ll be successful. Check out the Forex Smart Trade webinar. It shows one of their trader’s trading and how easy, intuitive, and accurate the tools are. Or try the Forex Smart Trade 14-day introductory trial for just TEN dollars.