Support Board
Date/Time: Thu, 27 Feb 2025 13:12:13 +0000
When does Heikin-Ashi reset?
View Count: 538
| [2021-06-30 16:48:49] |
| GGekko - Posts: 4 |
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Hi, When using Heikin-Ashi as the main display chart, I am trying to understand if or when the "open" resets? IE the very first bar in Heikin-Ashi is treated differently to the others (initial Heikin-Ashi open = normal bar open), every Heikin-Ashi open after this = (open + close)/2. VWAP, Standard Deviation and others reset each day, though I cannot see any rules for when Heikin-Ashi resets (if ever)? Without a periodical reset point, you would have to read in all available historical data and calculate decades of Heikin-Ashi values to give you a starting point ?? I looked at the Study Reference ( Heikin-Ashi ) it didn't address this question. Thank you for your time & have a lovely day :) |
| [2021-06-30 20:56:51] |
| John - SC Support - Posts: 38222 |
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The Heikin-Ashi study only uses the Open as the Open for the very first bar in the chart. Otherwise for all other bars it is using the average of the previous bar's Open and Close.
For the most reliable, advanced, and zero cost futures order routing, use the Teton service: Sierra Chart Teton Futures Order Routing |
| [2021-06-30 22:22:37] |
| GGekko - Posts: 4 |
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Hi John, I genuinely appreciate the reply. If I am am charting this week for example, where does the "open" come from? When I exported to a spreadsheet (about 800k entries), it seems the "open" came from the first bar of the E-mini S&P500 back in 2011 (continuous contract). Does this mean, if I am graphing 2021 (continuous contract), SC does 10 years of back calculations to get the first bar value and then simply carries this value forward for ever? Thanks again, Justin |
| [2021-07-01 09:52:27] |
| vice&virtu - Posts: 43 |
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Hello GGekko, The real formula for a new open in Heikin-Ashi candlestick is O =(open-1 + close-1)/2 if you want to respect the core meaning of his creator to wit identify the underlying trend more clearly and visually by averaging the previous prices and reporting them on the current candlestick then you can fellow the ten rules that follow from it. if you use open =open t you are distorting the signal simply because as all the O,H,L,C depends on each other for instance i trade FCE (futures contract on CAC40) open from 8AM to 22PM. you could imagine it would be not difficult to apply the real rule but as SC use this openHA=open for all futures contracts due to extensive trading hours nowadays on many contracts all my charts are always innacurate . Thus i use only cash index heikin ashi chart on high time frame units to get the real signal. |
| [2021-07-01 15:15:50] |
| John - SC Support - Posts: 38222 |
|
If I am am charting this week for example, where does the "open" come from? When I exported to a spreadsheet (about 800k entries), it seems the "open" came from the first bar of the E-mini S&P500 back in 2011 (continuous contract). Yes, it is the very first bar in the chart. Does this mean, if I am graphing 2021 (continuous contract), SC does 10 years of back calculations to get the first bar value and then simply carries this value forward for ever?
Not exactly, it just computes each bar based on the previous bar's values. And yes, the initial calculation is done starting at the very first bar in the chart. This is really not a difficult thing for the computer to do. The calculations are all provided in the documentation here: Heikin-Ashi For the most reliable, advanced, and zero cost futures order routing, use the Teton service: Sierra Chart Teton Futures Order Routing |
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