Heikin-Ashi charts are an offshoot of traditional candlestick charts created by Munehisa Homma in the 1700s. The Heikin-Ashi approach makes use of a modified pattern formation based on two-period averages rather than the open, high, low, and close used in traditional candlestick charts. The resulting Heikin-Ashi candlestick pattern attempts to better depict the trend by reducing some noise. This smooth out appearance of the chart makes it simpler to discern trends and reversals. However it also hides gaps and certain important price data.
The market has been range bound for the last few weeks with volatility on the decline, and earnings all over the place. So where to go to look for a trade? Nike has already had Earnings and is near a low of the year, so seems like a good option. As a contrarian that can mean only one thing to me: I have to make a trade with the assumption it will go up from here over the next 45ish days. We will do that by making a Long Call Vertical trade to bet that it starts to head up over the next couple months. For more on my trading and how to join me in real time, see below. Watch the video to get the details. Kal Trading Risk Disclaimer All the information shared in this video is provided for educational purposes only. Any trades placed upon reliance of SharperTrades.com are taken at your own risk for your own account. Past performance is no guarantee. While there is great potential for reward trading stocks, commodities, options and forex, there is also substantial risk of loss. All tr