hello traders welcome to our training session today I was training a new

student a few days ago and we were discussing removing the noise from the

chart that is the more indicators that you have on the chart the more

complicated trading can appear to be and it can be and what is a way of looking

at a chart to clearly see a trend and I was teaching him how to use hakushi

candles and he said wow I noticed it's not in your main course this is

something you must spread out with your students so what I'm doing is just doing

a short 10-minute video now to put up on YouTube and I'll do a much more

extensive one as soon as I finish this one and get it out to my members today

now remember the more tools and techniques you look at the more

complicated trading can be and as you hear me preach virtually in every

training session master one strategy at a time and what I'm about to show you is

just another strategy it's another technique and once again traders you

need to find something it really resonates and suits your trading style

and Heikin Ashi for many people they love doing it Heikin Ashi of

course is a Japanese candlestick and translated it means average price bonds

now our goal in our course is to achieve four hundred dollars a day per contract

one of the best ways of doing that is of course to be trend trading or to

recognize when you have a change in trend and Heikin Ashi can actually help

you in that area now if you haven't already done so if you go to the lower

right hand part of your screen you'll be able to down here put that up into full

screen because we're about to go and have a look at some charts and of course

if you haven't already read one of my risk disclaimers on my website or one of

my youtube videos here it is so please feel free to stop the view of this stage

and have a look at that and of course all of the technique

that we're about to discuss a role in the day traders fast Track program and

the Heikin Ashi candles will be a new module that I'll actually be adding over

within the next 24 hours however let me say this once again you can only trade

so many strategies before you start to lose sight and it becomes complicated so

this is a fantastic tool it is a methodology and it works brilliantly

however once again remember we suffer from what we call ego depletion the more

decisions that we have to make the more difficult life can be particularly when

it comes to trading so let's go and have a look at some charts and I'll allow you

to make up your own mind as we go along so let me just clear a couple of things

off here so what we're looking at right now is a standard chart that we would

normally be looking at from a day-to-day basis it doesn't matter by the way

whether you're trading futures Forex or stocks Heikin Ashi candles there's

lots of different versions of the software I'll quickly show you to most of

are adjustable that is you can adjust the sensitivity to them and what

they do they can remove some of the noise in the market however for your

traders at a very price action orientated it hides a lot but we'll have

a quick look at that in a moment so let's just look at the standard chart to

begin with and let me remove the channel just so we can have a nice clean chart

here so if we look at what we've got down here we've got very very simple a

t25 here you can see traders 1 2 3 4 5 candle pullback entry here you then got

a t2 or a t1 even though our long term is not over over bought yet

you've still got it's really bouncing off t34 as you can see here it's

bouncing off t89 so it's really a molt you have a number of entry reasons

to enter the trade here 34 pounds 89 pounds and a tea - and it ends up on the

next candle being t1 up here we've got a t2 and you've also got a t1

formation here you've got a t2 an entry here down here you actually had a t2

right on that candle or a t1 or a t1 and down here you've got an 89 bounce so

trading the fast-track standard entries we've already got many different entries

there and without applying the channel here I can see you know that's t89 and

that's probably t89 up here as well so a couple of things you want to consider

first of all how many trades have we had in the trend because as you know you

want to be extra cautious after you've had three to four pull backs in a trend

you usually get a decent change in trend or a decent pull back before the trend

continues or you have a change in trend so we'll have a look at that as well but

first of all now we've seen that we can see what our standard chart looks like

by the way if I didn't mention it a few minutes ago this is the NQ 133 to chart

this will be applicable to any market it doesn't matter really what you're

trading up here you've got a t10 signal here you've got of course a lot of

little divergence trades but let's ignore those for a moment so let me go

to the chart and let me remove the super scalper

the super scalper is out paintbar is there now as a reminder to our clients

that don't have all students that don't have the super scalper remember in it's

just a candle formation and we've got to count 2 up candles and the third candle

ticks above so you don't have to have it super scalper

so now let me just point out one other thing you had you may remember down here

you had a t25 entry there you almost set a t25 here but remember you would have

still been probably in that trade and you won't stopped out of that one

because remember you stopped us down here so you had three can't pull back

but remembering you're waiting for a tick above there but then you have that

happen down here so you had a t25 t25 t25 t25

t25 t25 again so you once again traded those of you that don't know the rules

to t25 it's very black and white but let's now go and apply Heikin Ashi candles

now I have a number of different programs or indicators and you can find

a ton of these of course on the internet there's a lot of them so what you want

to do is play around with them and find something that works with give it with

most of them you can adjust you can adjust them as I mentioned early make

them all sensitive sensitive so if you're a ninja trader user or an MT4

trader you'll be able to get nearly all of these free of charge now with this

particular one you can see what it does and we've see the blue lines here it

tells me really when I get a close of a blue it's telling me I have an entry

close of a blue entry close of that blue there entry close of a blue entry close

of this blue entry now of course you can trade candle trend trades but the safest

formation for us will float safest way to trade is of course with the trend now

a couple little things that I want a couple of tips I want to give you is

this that our blue line is the 8 EMA so you really want to have your 8 EMA

trending in the direction of your trade and what I'd still recommend is that you

have a close over the 8 EMA as a qualifier for this particular trade so

virtually all of these actually qualifying that area to had a trade

there you had another one here as I mentioned pointed them out now down here

your entry may not have been and let me just move along here until if you're

various programs here with these candles note my fractal spots a black dots if I

was to remove the Heikin Ashi indicator right now you'll see that I have a tail

coming down to the blacktop and there so some of them will remove the tails now

of course the tails can be valuable information such as where to place you

stop so with this particular program what I've got to watch here is of course

if I put my stop to ticks say below this can I'm actually not going to be below

the candle because this is hiding the tail of the candle so just be aware of

that with some of these programs okay now so a couple of things here we wanted

to use out 89 at 34 just as we do with our standard programming for our trend

so you can see you've got multiple entries there in the direction of a

trend now if you're a scalper this is a brilliant strategy now here we then get

a change in trend you've got what have we got here you've

got a sitting up here you've got at t20 so you've got a nice cross over here and

then of course your short you get then an 89 sorry my apologies you get a 200

bounce while we go here you've got a cross over

and away you go so perhaps you can see there that as far

as giving you clear directions where to entry it can be a system or a strategy

within itself particularly it's very reliable if you trade it with a trend so

this is one program now let me show you another one let me just quickly go to

this here and where are we this one took a little one I've got and you can see

here it's some just different colors it's actually a total different one and

you can actually see the tails in this program now I like the ones where you

see the tails because it just makes it easier to know where to place your stops

now for if you've got two screens or multiple screens my recommend that you

consider and once again because we're day trading here and I recommend you

only day trade one market because if you're scalping like I do on 1/3 133

tick charter can move really quickly on the NQ if you're on the es you might go

for 500 volume or or maybe a 550 tick and have just a recommendation in the

early is maybe have two screens open next to

each other one with the these candles on and one without just your standard

entries because of time so let me just go back down here you can see we are red

now let me just remove this indicator for a moment

oops it's just ticking over let me just show you this let me disable that so you

can see here you do lose the information of reading the candles now for my trend

line those that love following and drawing your trend lines of course what

do we got here fractals yet it very very nice can't help myself traders there you

would have drawn a little trendline there so you do lose some information

those traders like to visually read the chart now if you haven't traded using

Heikin Ashi you may recommend you spend some time it is a fantastic technique if

that's what you like to do because it can really keep you in trends longer and

it's just a tree well it can be great users of course for counter trend

trading but I use it for for trend trading now just to recap a couple of

really important things I recommend that you change trend trading you want to be

over and above the 8 EMA a in the direction of a trend and likewise if you

closed below the 8 EMA a consider exiting your trade what I've got here just

looking here for t25s are really hidden with this strategy so if you like

trading a t25 this is really replacing the t25 in its own right so traders

hopefully this was gave you a few ideas and something to explore members I'm

doing a comprehensive training video as we hang up or as a stop recording this

one I'm going to go in great detail with it so all of my members I'll keep you

I'll give you the links for the updates traders if you haven't already

subscribed to my youtube channel please do if you'd like any more information

about my course please drop me an e-mail a trader@iamadaytrader.com or

visit my website for my free ebook or to purchase my programs Thank You

traders