Heiken Ashi Trend Signals is a free mt4 (Metatrader 4) indicator, and it delivers precise trend cloud signals based on the position of the Heiken Ashi candlesticks.
The indicator appears in the main MT4 chart as some sort of bar cloud indicator that follows the major currency trend.
Buy & Sell Trade Example
- The first green Heiken Ashi bar is your buy entry signal.
- The first orange Heiken Ashi bar is your sell entry signal.
- Reverse the position as soon as an opposite signal occurs on the chart.
The Heiken Ashi Trend Signals indicator can be used for both entry and exit signals or mixed together with your own favorite trading strategy for improved performance.
The indicator works equally well on all assets (Forex, CFD stocks, Indices, Cryptocurrencies, Commodities,..) and shows promising results if used correctly.
Free Download
Download the “RaitisHeikenAshi.mq4” indicator for MT4
Indicator Chart (EUR/USD H1)
The example chart below displays the Heiken Ashi Trend Signals mt4 indicator in action on the trading chart.
Trading Tips:
Utilize your own favorite trade entry, stop loss and take profit method to trade with the Heiken Ashi Trend Signals Forex 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
Input Parameters: Variable (inputs tab), color settings & style
Indicator type: Trend
Repaint? No.
Heiken Ashi Trend Signals + HalfTrend Indicator MT4 Day Trading Strategy
This day trading strategy combines the Heiken Ashi Trend Signals Indicator with the HalfTrend 1.02 with Arrows Indicator to capture strong intraday trends.
The Heiken Ashi bars provide clear entry signals: the first green bar signals a buy, and the first orange bar signals a sell.
HalfTrend confirms the trend direction with a blue line for bullish bias and a magenta line for bearish bias, helping filter trades and reduce false entries.
This strategy works best on M15 and M30 charts during active trading sessions, including London and New York.
It is suitable for major pairs such as EUR/USD, GBP/USD, and USD/JPY, where trend movements are more reliable.
Buy Entry Rules
- Wait for the first green Heiken Ashi bar to appear on the chart.
- Confirm that the HalfTrend line is blue, indicating a bullish trend.
- Enter a buy trade at the close of the green Heiken Ashi bar.
- Set a stop loss below the recent swing low or below the blue HalfTrend line.
- Set take profit at a predefined risk-reward ratio (e.g., 1:1.5) or exit when the first orange Heiken Ashi bar appears.
Sell Entry Rules
- Wait for the first orange Heiken Ashi bar to appear on the chart.
- Confirm that the HalfTrend line is magenta, indicating a bearish trend.
- Enter a sell trade at the close of the orange Heiken Ashi bar.
- Set a stop loss above the recent swing high or above the magenta HalfTrend line.
- Set take profit at a predefined risk-reward ratio or exit when the first green Heiken Ashi bar appears.
Advantages
- Heiken Ashi bars filter noise and provide clear trend-based entries.
- HalfTrend confirms trend direction across the timeframe, reducing false trades.
- Works well for intraday trading with consistent trend-following logic.
- Visual indicators make entries and exits straightforward for traders of all levels.
- Can be applied to multiple major pairs during active trading sessions.
Drawbacks
- Heiken Ashi bars can lag slightly in fast-moving markets, delaying entries.
- Strategy may generate false signals during sideways or low-volatility periods.
- Stop loss may be triggered prematurely due to minor pullbacks.
- Frequent monitoring is required for intraday scalping and timely exits.
Example Case Study 1 – EUR/USD
On the M15 chart, the first green Heiken Ashi bar appeared at 1.1075, with the HalfTrend line blue.
A buy trade was entered at 1.1076, stop loss at 1.1065, and take profit at 1.1095.
The trade reached the target within 40 minutes, yielding +19 pips.
Example Case Study 2 – GBP/USD
During the London session, the first orange Heiken Ashi bar appeared at 1.3110, with the HalfTrend line magenta.
A sell trade was entered at 1.3108, stop loss at 1.3120, and take profit at 1.3085.
The trade hit the target within 50 minutes for +23 pips.
Strategy Tips
- Use M15 and M30 charts for intraday trading to balance signal accuracy with timely execution.
- Consider trailing stops once the trade moves favorably to lock in profits.
- Keep position size consistent and limit risk per trade to a small percentage of your account.
- Backtest the strategy on different pairs to identify which respond best to Heiken Ashi and HalfTrend alignment.
- Exit trades promptly if the trend shows early signs of weakening, even before reaching take profit.
Download Now
Download the “RaitisHeikenAshi.mq4” indicator for Metatrader 4
