Heiken-Ashi Trend Indicator
The Idea
The idea outlined by this indicator is to signal [possibe] trend starting signal for the Heiken-Ashi charting style.
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The Signal (Figure.01 - A) is the first "flat" Heiken-Ashi bar that follows any non-flat bar in the same direction (Figure.01 - C). The preceeding bar to a Signal bar can be of any color any formation. Except that of a Signal bar itself. Note, this includes a signal bar in the other direction.
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The Confirmation (Figure.01 - B) to this signal would be the break of the High (if Bullish) of the Signal bar.
Once confirmed, one can consider a start of a trend.
Figure.01 - Shows the basic concept of the pattern.
Tradestation
The indicator for Tradestation was built to filter out the Signals and allow the trader to assess the conditions of the market, in respects to the signal, and identify possible trends.
Figure.02 - Shows Figure.01 in the context of a Tradestation chart with the Heiken-Ashi Trend Indicator plot. A/a and B/b correspend to the Signal and Confirmation. F is a view of the Heiken-Ashi Trend in that current moment.
The indicator on the chart depicts Signals and Confirmations as a 1 and -1 value with a Cyan/Blue (Bullish) and a Yellow/Magenta (Bearish) coloring respectively. The trend is plotted on the 0 line and colored Red or Green based on the direction of the Trend. Green for a Bull trend and Red for a Bear trend.
It should be noted that Tradestation does not have Heiken-Ashi chart rendering options. Which was one of the primary reason behind this tool.
All indications, Signals, Confirmations, Trend can be provided with specific identifying numbers to allow you to specify exact formations within Tradestation's screening tool.
Figure.03 - Shows a screen configured to find only Bullish Signals.
Install
To install, copy the code into Tradestation's EasyLanguage editor and create a new indicator with the given code. Once verified you can begin plotting or adding it to your screeners or RadarScreen.
Disclaimer
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