3 Heiken Ashi

# Heiken Ashi Overlay Indicator

This custom indicator overlays the last three Heiken Ashi candles on your regular candlestick chart, providing traders with immediate trend direction insights without switching between chart types.

## Key Features

- **Real-time Overlay**: Displays three most recent Heiken Ashi candles on the right side of your chart
- **Color Coding**: Green candles indicate upward momentum, red candles show downward momentum
- **Timeframe Adaptive**: Maintains consistent display across all timeframes
- **Clean Visualization**: Clear separation between regular candlesticks and Heiken Ashi overlay

## Trading Applications

**Trend Confirmation**
- Green Heiken Ashi candles suggest strengthening bullish momentum
- Red Heiken Ashi candles indicate developing bearish pressure
- The sequence of colors helps identify potential trend reversals

**Decision Making Benefits**
- Quick trend assessment without chart switching
- Enhanced signal confirmation
- Reduced noise in trend identification
- Improved entry and exit timing

## Technical Details

The indicator uses standard Heiken Ashi calculations:
- HA Close = (Open + High + Low + Close)/4
- HA Open = Previous HA (Open + Close)/2
- HA High = Maximum(High, HA Open, HA Close)
- HA Low = Minimum(Low, HA Open, HA Close)

## Usage Tips

1. Use alongside your regular technical analysis
2. Watch for color changes as early trend reversal signals
3. Consider the size of Heiken Ashi candles for momentum strength
4. Compare with price action on the main chart for confirmation

This overlay combines the smoothing benefits of Heiken Ashi with the precision of regular candlesticks, offering traders a powerful tool for trend analysis and decision-making.