A trend following system based on the Heiken Ashi trading indicator. Use on 30 minute chart and higher time frames for best results.
Chart Setup
Indicators: Heiken Ashi, MACD_OsMA, Trend_Bars
Preferred time frame(s): M30, H1
Trading sessions: Any
Preferred Currency pairs: Majors
Download
Download the Heiken Ashi Trend Following Forex Strategy.
An example of the Heiken Ashi strategy in action on the GBP/USD pair (H1)
Click to enlarge the chart.
Trading Rules
Buy Rules:
- Heiken Ashi white candlestick (bullish)
- MADC_OsMA above the 0.00 level (short term bullish trend)
- Trend bars indicator: blue bar (trend up)
Go long. Set SL 5 pips below the low of the most recent red Heiken Ashi candle.
Target: 100 pips (H4 chart), 50 pips (H1 chart), 35 pips (M30 chart)
Sell Rules:
- Heiken Ashi red candlestick (bearish)
- MADC_OsMA below the 0.00 level (short term bearish trend)
- Trend bars indicator: red bar (trend down)
Go short. Set SL 5 pips above the high of the most recent white Heiken Ashi candle.
Target: 100 pips (H4 chart), 50 pips (H1 chart), 35 pips (M30 chart)