Abhaya in Sanskrit means fearlessness. Thus this mudra symbolizes protection, peace, and the dispelling of fear. It is made with the right hand raised to shoulder height, the arm crooked, the palm of the hand facing outward, and the fingers upright and joined. The left hand hangs down at the side of the body. In Thailand, and especially in Laos, this mudra is associated with the movement of the walking Buddha (also called 'the Buddha placing his footprint'). It is nearly always used in images showing the Buddha upright, either immobile with the feet joined, or walking.
This mudra, which initially appears to be a natural gesture, was probably used from prehistoric times as a sign of good intentions - the hand raised and unarmed proposes friendship, or at least peace; since antiquity, it was a plain way of showing that you meant no harm since you did not carry any weapon.
Buddhist tradition has an interesting legend behind this mudra:
Devadatta, a cousin of the Buddha, through jealousy caused a schism to be caused among the disciples of Buddha. As Devadatta's pride increased, he attempted to murder the Buddha. One of his schemes involved loosing a rampaging elephant into the Buddha's path. But as the elephant approached him, Buddha displayed the Abhaya mudra, which immediately calmed the animal. Accordingly, it indicates not only the appeasement of the senses, but also the absence of fear.
In Gandhara art, this mudra was sometimes used to indicate the action of preaching. This is also the case in China where it is very commonly found in images of the Buddha, mainly in the Wei and Sui eras (fourth to seventh centuries).
The Abhaya mudra is displayed by the fifth Dhyani Buddha, Amoghasiddhi. He is also the Lord of Karma in the Buddhist pantheon. Amoghasiddhi helps in overcoming the delusion of jealousy. By meditating on him, the delusion of jealousy is transformed into the wisdom of accomplishment. This transformation is hence the primary function of the Abhaya mudra.
But it is not just the divine Buddha who is credited with making mudras. Every position assumed and every gesture performed by our mortal body may be said to imprint its seal on the Ether, and sent forth a continuous stream of vibrations that impress the atmosphere. But to be really effective there must be a deliberate and intended arrangement of the body or parts of the body. Such an arrangement is nothing but the yoga of mudra. It is interpreted as being able to bring the physiological system in harmony with the cosmic forces and so form a magical microcosm through which the macrocosm can be represented, channeled, and utilized. The mudra in all its variations is, therefore, a traditional body pattern; an archetypal posture of performed occult significance.
We perform mudras in every action, every moment of the day. Each action is a symbol of our underlying mental and physical condition and results because of the various energy patterns forming within our being. These patterns determine our personality character and mannerism and expressions. Thus our every moment is an expression of our inner-nature. Consciously performing mudras allow us to become more aware of inner energy and to control it so that we make the most of each moment. The effect is total, at once subtle but powerful. In this way, we learn to integrate our dissipated thoughts and actions, so that life becomes a graceful flow of energy and understanding. Our whole being can then become a mudra, a gesture of life within, reflecting into our external life.
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