The Heikin-Ashi technique is a unique charting method designed to smooth price action and filter out market noise, providing traders with a clearer view of trends and potential reversals. Originating in the 1700s from Munehisa Homma, a pioneer of Japanese candlestick analysis, this technique refines traditional candlestick charts by using a calculated formula based on two-period averages.
Unlike standard candlestick charts that directly reflect open, high, low, and close prices, Heikin-Ashi candles adjust these values to emphasize the overall trend direction. The result is a visually smoother chart that simplifies complex market movements, helping traders spot trends with ease. However, this simplification also masks gaps and some precise price details, making Heikin-Ashi charts best suited for analyzing trends rather than pinpointing exact prices.
By incorporating Heikin-Ashi charts into your trading strategy, you can gain a more intuitive understanding of market dynamics while minimizing distractions from short-term volatility.
Getting Started
To use Heikin Ashi candles as the data set used to calculate indicator values, all indicator queries in all the integration methods will take a chart parameter which must be set to heikinashi.
Example
As a simple example with the Direct Method simply adjust your query like so:
[GET] https://api.taapi.io/rsi?secret=MY_SECRET&exchange=binance&symbol=BTC/USDT&interval=1h&chart=heikinashiRAW Heikin Ashi candle values
To obtain the RAW Heikin Ashi candle values is by using one of these 2 endpoints, and setting the chart parameter to heikinashi:
- /candles : This will return Heikin Ashi candles.
- /candle: This will return the latest (or last backtracked) Heikin Ashi candle.