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<p id="isPasted">The idea behind using a Heikin Ashi chart is that it filters market noise.</p><p>And since noise is filtered, you basically see the naked trend.</p><p>Heikin Ashi reduces market noise</p><p>Because the Heikin Ashi candlesticks are calculated based on averages, the candlesticks will have smaller shadows (wicks) than a regular Japanese candlestick.</p><p>Just like with regular Japanese candlesticks, with a Heikin Ashi candlestick, the smaller (or shorter) the shadow (or wick), the stronger the trend.</p><p>Green candles with no lower shadow signal a strong UPTREND.</p><p>Red candles with no upper shadow signal a strong DOWNTREND.</p><p>Heikin Ashi Showing Uptrend and …</p>