# Is Heikin-Ashi Good?

Heikin-Ashi (Heiken-Ashi), means "average bar" in Japanese. Inn essense, it's a technique for smoothing out the chart, this way no gaps in the market data exist. The [Heikin-Ashi](https://www.investopedia.com/terms/h/heikinashi.asp) technique is used to identify general market trends and predict price movements. Great feature for novice traders trying to identify a movement. <br>

### The Problem with Heikin-Ashi

Price data from the Heikin-Ashi chart is smoothed across trading sessions, and gaps in market data. As such, the chart might demonstrate average weighted data that has been smoothed, and does not match the current price for a security. Many algorithmic trading providers recommend that their signals only be used in conjunction with Heikin-Ashi charts, however, we feel that this might be a good solution for interday trading, but not practical for intraday trading (day trading). \
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We resolved this issue but offering the best of both worlds! The signals are based and fire off regular candle stick ticks, but the charting represents Heikin-Ashi. This way, customers received the real-time market data with a smoothed chart. \
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Notice the 0.04 price difference between the two charts below. That's the problem with Heikin-Ashi.

<div><figure><img src="/files/xYU9vZPkwWkT16gL5XQv" alt=""><figcaption></figcaption></figure> <figure><img src="/files/JZkXiSSg2nqEq4a67vz4" alt=""><figcaption></figcaption></figure></div>


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