Heiken Ashi Trend Following Forex Strategy

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.

forex-trend-following-system-with-heiken

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)

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