Heikin-Ashi: How do you trade it, given the bar Open/Close are not real?

[trendie]

Just been messing around with some charts.
The Heikin-Ashi bars are calculated bars, in that they are a calculated from Highs/Lows/Opens/Closes, and do not represent the true price ticks.

How can you trade HA since the "Open" of a HA bar may be several points away from the tick-price-Close?
I mean, you don't "get" the HA bar price when you open a trade, and you don't get to close a trade at the HA bar close price.

Aren't HA traders trading an artificial construct?
(it would be the equivalent of "buying" of "closing" an MA-price, rather than the true tick-price)
I know HA are sort of indicators, but are there actually any good HA strats?
Ta, muchly.

 

[wackypete2]

Because of exactly what you said I would never trade entry/exit signals on HA alone. It is a trend indicator. Trade in the direction of the trend.

Peter

 

[Bill Signer]

Thanks for information, looks nice with trend indicator... rare signals, but a bit more stable