The Heiken Ashi Smoothed Alerts indicator is a popular free buy/sell signals indicator built for the Metatrader 4 (MT4) trading platform.
The indicator pops up in the main MT4 chart window as blue and pink colored Heiken Ashi candles.
The Heiken Ashi Smoothed Alerts indicator is newbie-friendly and can be used by anyone, regardless of prior trading experience.
Buy & Sell Trade Example
- A buy signal occurs as soon as the first blue Heiken Ashi Smoothed Alerts candle appears on the chart.
- A sell signal occurs as soon as the pink first Heiken Ashi Smoothed Alerts candle appears on the chart.
The Heiken Ashi Smoothed Alerts indicator can be used for both trade entry and exit, or as an additional confirmation filter for other strategies and systems.
For scalping and day trading, the indicator performs best during the London and New York trading sessions.
The indicator works equally well on all currency pairs (majors, minors and exotic) and shows promising results if used correctly.
Free Download
Download the “Heiken_Ashi_Smoothed Alerts.mq4” indicator for MT4
Indicator Chart (EUR/USD M1)
The example chart below displays the Heiken Ashi Smoothed Alerts mt4 indicator in action on the trading chart.
Tips:
Feel free to use your own favorite trade entry, stop loss and take profit method to trade with the Heiken Ashi Smoothed Alerts indicator.
As always, trade in agreement with the overall trend and practice on a demo account first until you fully understand this indicator.
Please note that even the best trading indicator cannot yield a 100% win rate over long periods.
Indicator Specifications & Inputs:
Trading Platform: Developed for Metatrader 4 (MT4)
Currency pairs: Works for any pair
Time frames: Works for any time frame
Trade Style: Works for scalping, day trading and swing trading
Input Parameters: Variable (inputs tab), color settings & style
Indicator type: Heiken Ashi
Does the indicator repaint? No.
Heiken Ashi Smoothed + Four Time Frames ASCTrend MT4 Strategy
Introduction
This strategy combines the Heiken Ashi Smoothed Alerts Indicator (MT4) with the Four Time Frames ASCTrend Indicator (MT4).
The Heiken Ashi Smoothed Indicator provides clear candle signals: blue candles indicate a buy, and pink candles indicate a sell.
The Four Time Frames ASCTrend Indicator confirms trend strength across multiple time frames.
A buy signal occurs when all four trend bars turn blue (strong uptrend), and a sell signal occurs when all four trend bars turn red (strong downtrend).
This setup works well on M5 to H1 charts for intraday trading.
It is ideal for traders looking for trend-following entries with multi-timeframe confirmation, reducing false signals and enhancing trade confidence.
Buy Entry Rules
- All four trend bars on the ASCTrend Indicator must be blue, indicating a strong uptrend across multiple time frames.
- The Heiken Ashi Smoothed candle must be blue, confirming bullish momentum.
- Enter at the close of the blue Heiken Ashi candle.
- Stop loss: place below the recent swing low or below the low of the confirmation candle.
- Take profit: initial target at 1.5× risk, with option to trail stop behind subsequent blue candles for extended gains.
Sell Entry Rules
- All four trend bars on the ASCTrend Indicator must be red, indicating a strong downtrend across multiple time frames.
- The Heiken Ashi Smoothed candle must be pink, confirming bearish momentum.
- Enter at the close of the pink Heiken Ashi candle.
- Stop loss: place above the recent swing high or above the high of the confirmation candle.
- Take profit: initial target at 1.5× risk, with trailing stop above subsequent pink candles for extended profits.
Advantages
- Multi-timeframe trend confirmation reduces false signals.
- Heiken Ashi Smoothed candles provide clear visual entry cues.
- Suitable for intraday traders looking for strong trend trades.
- Combining two indicators increases the probability of successful trades.
Drawbacks
- Lag in Heiken Ashi candles may delay entries slightly.
- Choppy or ranging markets may produce fewer trade opportunities.
- Requires patience to wait for all four ASCTrend bars to align.
- Stop losses may be hit during retracements before trend continuation.
Example Case Study 1 — EUR/GBP M5 (Bullish)
On the M5 EUR/GBP chart, all four ASCTrend bars turn blue, confirming a strong uptrend.
A blue Heiken Ashi Smoothed candle closes above the previous candle.
Entry is taken at the candle close, with a stop loss below the last swing low.
Price moves steadily upward, hitting the 1.5× risk target within three hours.
Trailing stops behind subsequent blue candles capture additional profit.
Example Case Study 2 — AUD/JPY H1 (Bearish)
AUD/JPY on the H1 chart shows all four ASCTrend bars turning red, signaling a strong downtrend.
A pink Heiken Ashi Smoothed candle closes, confirming a sell.
Entry is taken at candle close, stop loss above the previous swing high.
Price trends downward, reaching the initial target.
Trailing stop above subsequent pink candles allows additional pips to be captured before the trend reverses.
Strategy Tips
- Always wait for all four ASCTrend bars to align before taking a trade for a stronger probability.
- Use proper risk management: do not over-leverage on a single trade.
- Monitor for significant news events that may cause sudden spikes or reversals.
- Trailing stops using Heiken Ashi candles can help maximize gains while protecting profits.
Download Now
Download the “Heiken_Ashi_Smoothed Alerts.mq4” indicator for Metatrader 4
