Heiken Ashi Trading System

Heiken Ashi trading system is a trend following strategy. The purpose of this strategy is find the trend with Heiken Ashi candle exponential moving averages and MACD.

Time Frame 30 min or higher.

Currency pairs: EUR/USD, GBP/USD, USD/JPY, GBP/JPY, USD/CAD, AUD/USD, NZD/USD, AUD/JPY, USD/CHF.

Forex Indicators

Heiken Ashi ( optional Heiken Ashi Smoothed)

Exponential Moving Average 5 period, close, shift 1.

Exponential Moving Average 15 period, close, shift 1.

MACD 12, 26, 9.

Trading rules Heiken Ashi Trading System

Buy

Heiken Ashi above EMA 5 and EMA 15.

EMA 5 > EMA15.

MACD Histogram above zero line.

Exit when Heiken Ashi red candle close below EMA 15.

Place initial stop loss below the previous swing low.

Sell

Heiken Ashi below EMA 5 and EMA 15.

EMA 5 < EMA15.

MACD Histogram below zero line.

Exit when Heiken Ashi white candle close above EMA 15.

Place initial stop loss below the previous swing high.

In the charts below trading examples.