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Heikin Ashi

Smoothed candles that hide small noise.

Each candle is averaged with the previous one, so a trend looks like a run of same-coloured candles. The series 'direction' is +1 when the smoothed close is above the smoothed open.

It is a way of looking, not a prediction: the prices are averages, not real trade prices.

In TradeXtool

Gate: Heikin Ashi direction is above 0.

Watch out

Never use Heikin Ashi values as entry or stop prices. They are not prices anyone traded at.

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