how to scan for heikin-ashe chart patterns using 2 EMA AND 6 EMA

shags1946

HIEKIN-ASHE CHART SCANS

markd

Apparently you can create charts in Heiken-Ashi, but I don't see any scan terms in the drop downs on the advanced scan page for it. If it can be done, the scan terms will be in one or more of those drop downs. I don't use H-A, so maybe I missed something.

lmkwin

There is a "Strategy" on ThinkorSwim that deals with HA moving average verse Candlestick or regular chart type moving average crosses. I don't see a formula for it though on calculating the MA of the HA


SVEHaTypCross
Description

The SVEHaTypCross strategy is a trading system which combines price plot coloring, moving averages, and Buy/Sell triggers. These three elements are based upon Heikin Ashi values. Two EMAs (exponential moving averages) are calculated for the system: EMA of typical price and that of average price of Heikin Ashi bars. These averages form two plots which produce Buy and Sell signals for the strategy.

A Buy signal is given when the first average crosses above the second at a bullish bar; conversely, a Sell signal is given when the crossover of opposite direction happens at a bearish bar. These signals also divide the price plot into trending sections: those between consecutive Buy and Sell signals are considered uptrend and colored green while those between consecutive Sell and Buy signals are considered downtrend and colored gray. The plots and coloring system are added to this strategy in order to facilitate your decision whether to use the default parameters or to adjust them.

PeterPan8

FYI. Here is the end of an article from Chip Anderson from Sept. 18, 2011

P.S. People have asked if we can scan for Heikin-Ashi chart patterns. The Scan Engine doesn't currently support Heikin-Ashi charts because, fundamentally, Heikin-Ashi charts use different data than the OHLC values that the Scan Engine is designed to work with. Unfortunately, that isn't going to happen any time soon.

And that was 10 years ago!
Keep on scannin'

lmkwin

yes, it would be like scanning on Point and Figure chart patterns based on anything other than the "Traditional" scale and 3 box reversal. A lot of variables would need to be considered that would require a bit too much data to be captured/ calculated. It would be great to have but.... Even the mightly ThinkorSwim doesn't allow HA chart scans. And PnF charts on TOS? fuhgedaboutit.

PeterPan8

I've found a work around. If you're looking to scan for EMA 2 and EMA 6, simply change it for EMA 3 and EMA 8 crossover. It's not exactly as on HA charts EMA 2-6 but it's pretty close! You then switch from candlesticks (EMA 3-8) to HA charts with EMA 2-6.

I have to pay Stockcharts (as a registered member) to find solutions that should come from them! 😁

lmkwin

They are pretty similar. As volatility increases they to appear to diverge from each other a bit as one is following the daily prices (in this example), and the other is following the 2 period average from the HA candle formula. You can see this where the space is formed between the lines, indicating momentum.

HA chart on the top, Candlestick chart on the bottom.