If you are a new trader in the Forex market, you know how confusing it can be when you are watching volatile currency pairs like the GBP JPY that are constantly changing. If you watch every change in the trend, you can end up following false signals and losing money. Using the Heiken Ashi Trader will help you trade like experts that have been in the Forex market for years.

The Heiken Ashi works with the Metatrader 4 platform as an optional chart that you can use. You can compare it to the traditional charts to see the differences and the similarities to make you feel more secure in your trading decisions.

Heikin Ashi is a simple chart that is much smoother than other charts because it takes the averages of the candles rather than displaying each individual candle. This eliminates much of the noise and sporadic activity of trades that can develop due to price fluctuations. They may not actually indicate the trend of the trade and end up confusing a trader.

If you use Heiken Ashi candles, you will see the actual trends of the market and the strength of those trends. It does not use every change, but takes the averages to create a more accurate chart.

To find the close price in a Heiken Ashi candle, it will take the open and close prices, the high and the low and average them. The open price of a Heiken Ashi candle is the average of the open and close of the last candle.

You take the maximum price between the high, open, and close price to find the Heiken Ashi high price. To get the low price, you take the low, open, and close price to find the minimum price.

When you use the Heiken Ashi Trader, you will see uptrends and downtrends and will know when to hold your position and when to sell either the long or short holdings to make a profit. When the candles are short with long shadows, it is possible that the trend is about to change. Many traders will wait until the currency pair makes another move to know what to do. They may use other indicators to confirm the candles of Heiken Ashi.

Heikin Ashi makes trading easier for the new trader because it takes away much of the guesswork and the confusion from signals. Another benefit to using Heiken Ashi trading is that it takes the emotion out of trading. This can be an issue with new traders who give in to fear when a trade takes a quick downturn. If you use Heiken Ashi for your chart, you will not see those little fluctuations and only watch the actual trends. You will be able to rely on accurate information to make your trading decisions.

You can trade like a professional even if you are a new trader in the Forex market if you use Heiken Ashi for your visual chart. It will make it easy to know what your next step should be.