Breakout Strategy with Heikin-Ashi and ATR in US NASDAQ 100 trading
Posted in BVI | EN | Labs | Indices

An introduction to the Breakout Strategy: what you should know about the Heikin-Ashi and ATR in NASDAQ 100 to trade it. How to track these signals for effective trading.

Introduction to the technical indicators

Heikin-Ashi The modified indicators based on the candlestick chart patterns can indeed facilitate the easy identification of trend initiation, continuation, and reversal. When a trend is forming, it often exhibits a series of consecutive candlesticks with the same color (bullish or bearish), indicating the persistence of the trend. However, when a trend is transitioning, the color of the candlesticks will change accordingly (from bullish to bearish or vice versa) as part of the trend reversal process.
SMA (30) SMA calculation is quite straightforward, as it provides the average value of closing prices over a specific period. It serves as a basic trend-following indicator that helps determine the direction of the trend based on the inclination of the SMA line. In addition to the SMA, several other derived calculation methods are also available.
ATR ATR stands for ‘Average True Range’. It is an oscillating technical indicator that displays the average price movement over a certain period. Regardless of whether the market trend is bullish or bearish, the ATR value tends to increase when there is significant volatility. It is commonly used to set take-profit and stop-loss targets.
ATR- Breakout Strategy- OANDA
Technical analysis using the SMA, Heikin-Ashi and ATR

Trading steps

OANDA- Breakout strategy
Example of trading using SMA, Heikin-Ashi and ATR


Frequently Asked Questions

How can I use the Heikin-Ashi and ATR for a breakout trading strategy in the US NASDAQ 100?