Heiken Ashi ATR Blend: Smoothed Candles and Early Entry Signals

Related: Heikin Ashi Candlesticks - another powerful indicator for MetaTrader 5 traders.

Features:

ATR-smoothed Heiken Ashi candles displayed directly on the chart: blue for bullish, red for bearish.

Also recommended: SHK Heikin Ashi MACD Signal Arrows for MT5 - similar indicator with strong performance on MetaTrader 5.

Large move detection: When the new Heiken Ashi close differs from the previous smoothed close by at least ATR multiplied by sensitivity, the candle adjusts to the raw Heiken Ashi values.

Small move handling: Open and close prices are blended with the previous smoothed candle using a specified blend factor, preventing minor price fluctuations from causing unnecessary color changes.

Trend bias lines: Fast EMA (default period 20) and Slow EMA (default period 50) are plotted to indicate the trend direction.

Early entry signals: Buy/sell arrows appear when the smoothed candle changes direction in alignment with the EMA bias.

Buy signal conditions: The smoothed candle turns bullish (it was not bearish in the previous bar), the Fast EMA is above the Slow EMA, and the two EMAs are still close to each other.

Sell signal conditions: The smoothed candle turns bearish (it was not bullish in the previous bar), the Fast EMA is below the Slow EMA, and the two EMAs are still close to each other.

Adaptive filtering: The proximity of EMAs is measured in ATR units, allowing the filter to adapt automatically to different symbols and timeframes. Signals are filtered out when EMAs spread too far apart, ensuring entries are focused on early market movements rather than significantly extended trends.

Arrow placement: Buy arrows are positioned below the candle, and sell arrows are positioned above, offset by a fraction of the ATR to avoid overlapping the candle.

Alerts: Popup and push notifications are provided, sent once per bar per direction. Alerts are formatted as "SYMBOL TIMEFRAME - BUY signal" or "SELL signal".

Self-contained: Built-in ATR and EMA calculations eliminate the need for external indicators or include files.

Parameters:

Parameter Name

Description

InpFastEMAPeriod

Period for the Fast Exponential Moving Average (default 20).

InpSlowEMAPeriod

Period for the Slow Exponential Moving Average (default 50).

InpATRPeriod

Period for the Average True Range calculation (default 14). Used for smoothing threshold, EMA distance filter, and arrow offset.

InpMultiplier

Signal sensitivity multiplier (default 0.8). This ATR multiple determines when the smoothed candle snaps to raw Heiken Ashi values. Lower values track price more closely, while higher values result in a smoother, slower candle.

InpBlendFactor

Blend factor for small moves (default 0.3, range 0-1). This determines the weight applied to the new Heiken Ashi open/close when blending. Lower values provide more smoothing, while higher values offer faster reaction.

InpMinEmaSeparationATR

EMA distance filter in ATR units (default 0.25). A signal is only valid if the gap between the Fast and Slow EMA is no larger than this value. Lower values are stricter, triggering signals only when EMAs are very close; higher values permit signals in more developed trends.

InpArrowOffsetATR

Offset of the signal arrows from the candle, expressed as a fraction of ATR (default 0.30).

InpSignalsEnabled

Enables or disables signal alerts and arrows (default true). Arrows are still drawn on the chart even when this setting is off.

InpPopupAlert

Displays a popup alert when a signal appears (default true).

InpPushAlert

Sends a push notification to the mobile terminal when a signal appears (default false).

Notes and Limitations:

Signal Indicator Only:
This indicator is designed for visual analysis and does not execute trades. It does not include order management features like Stop Loss or Take Profit.

Current Bar Behavior:
Signals generated on closed bars remain static. The current, actively forming bar is recalculated with each tick. Therefore, an arrow on the current bar may appear or disappear until the bar officially closes.

Alert Timing:
Alerts are triggered on the current bar as soon as the entry conditions are met, not at the close of the bar. Alerts are issued only once per bar per direction.

Heiken Ashi Prices are Calculated:
The smoothed Heiken Ashi candles represent calculated prices, not actual traded prices. Utilize the standard price chart for determining entries, stop-loss, and take-profit levels.

Early Entry Filter Design:
Signals are generated only when EMAs are closely aligned. Consequently, fewer signals may appear during strongly trending markets. This filtering mechanism is intentional.

Single File Indicator:
Integrates built-in ATR and EMA calculations, requiring no external indicators or include files. Operates effectively on any symbol and timeframe.

Screenshots:

Conclusion:

For traders who appreciate the clarity of Heiken Ashi candles but desire reduced false color flips, this indicator offers an ATR-based smoothing filter. It incorporates an EMA trend bias and highlights early entry opportunities with clear arrows and optional alerts, all within a single, self-contained indicator file. This tool provides enhanced visual analysis for trading decisions in 2026.

You may also like: heiken ashi as series - excellent alternative for indicator users on MetaTrader 5.

#property copyright "RobotFX"
#property link "https://robotfx.org"
#property description "This code is educational. Feel free to use, modify and upgrade as you wish. Visit ROBOTFX.ORG for professional trading tools"
#property version "1.00"
#property indicator_chart_window
#property indicator_buffers 10
#property indicator_plots 6
#property indicator_label1 "HA Open;HA High;HA Low;HA Close"
#property indicator_type1 DRAW_COLOR_CANDLES
#property indicator_color1 clrDodgerBlue, clrRed

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• This tool is provided for educational and testing purposes only.
• Past performance does not guarantee future results.
• Trading involves substantial risk of loss. Use on a demo account first.
• Results may vary depending on market conditions, broker, and settings.
• We recommend thorough backtesting and forward testing before using with real funds.