This is a discussion on Ichimoku within the HowToBasic forums, part of the Announcements category; i do not know how to share but these are the staticts...
I won because i followed Newdigital coments and howtobasic threads. All people must read howtobasic threads.
Thank u Nd for your great effort.
hi levoniyas,
Great results, can you tell us more about how you are trading? Which system are you using and timeframe? Thanks.
Hi Dangio
First of all i read Newdigital's posts. And i try to use ichi as it explained at this thread.
I'm using ichi cloud. 5M for trading, 15M for confirming.
That is all.
hi levoniyas,
can you please explain about that's 3 line?
Hi TIMisthebest
Sorry i was busy today.
it is simple TMA indicator.
Episode 63: Ichimoku Clouds -- The One-Look Equilibrium Chart
Many traders are asked what indicator they would wish to never do without. The answer has never wavered as there is one indicator that clearly illustrates the current trend, helps you time entries, displays support and resistance, clarifies momentum, and shows you when a trend has likely reversed. That indicator is Ichimoku Kinko Hyo or more casually known as Ichimoku.
Ichimoku is a technical or chart indicator that is also a trend trading system in and of itself. The creator of the indicator, Goichi Hosada, introduced Ichimoku as a “one glance” indicator so that in a few seconds you are able to determine whether a tradable trend is present or if you should wait for a better set-up on a specific pair.
Before we break down the components of the indicator in a clear and relatable manner, there are a few helpful things to understand. Ichimoku can be used in both rising and falling markets and can be used in all time frames for any liquid trading instrument. The only time to not use Ichimoku is when no clear trend is present.
Always Start With the Cloud
The cloud is composed of two dynamic lines that are meant to serve multiple functions. However, the primary purpose of the cloud is to help you identify the trend of current price in relation to past price action. Given that protecting your capital is the main battle every trader must face, the cloud helps you to place stops and recognize when you should be bullish or bearish. Many traders will focus on candlesticks or price action analysis around the cloud to see if a decisive reversal or continuation pattern is taking shape.
In the simplest terms, traders who utilize Ichimoku should look for buying entries when price is above the cloud. When price is below the cloud, traders should be looking for temporary corrections higher to enter a sell order in the direction of the trend. The cloud is the cornerstone of all Ichimoku analysis and as such it is the most vital aspect to the indicator.
Time Entries with the Trigger & Base Line
Once you have built a bias of whether to look for buy or sell signals with the cloud, you can then turn to the two unique moving averages provided by Ichimoku. The fast moving average is a 9 period moving average and the slow moving average is a 26 period moving average by default. What is unique about these moving averages is that unlike their western counterparts, the calculation is built on mid-prices as opposed to closing prices. I often refer to the fast moving average as the trigger line and the slow moving average as the base line.
The Ichimoku components are introduced in a specific order because that is how you should analyze or trade the market. Once you’ve confirmed the trend by recognizing price as being below or above the cloud, you can move to the moving averages. If price is above the cloud and the trigger crosses above the base line you have the makings of a buy signal. If price is below the cloud and the trigger crosses below the base line you have the makings of a sell signal.
Confirm Entries with the Mysterious Lagging Line
In addition to the mystery of the cloud, the lagging line often confuses traders. This shouldn’t be the case as it’s a very simple line that is the close of the current candle pushed back 26 periods. When studying Ichimoku, I found that this line was considered by most traditional Japanese traders who utilize mainly Ichimoku as one of the most important components of the indicator.
Once price has broken above or below the cloud and the trigger line is crossing the base line with the trend, you can look to the lagging line as confirmation. The lagging line can best confirm the trade by breaking either above the cloud in a new uptrend or below the cloud in a developing downtrend. Looking above, you can see that the trend often gathers steam nicely after the lagging line breaks through the cloud. Another benefit of using the lagging line as a confirmation indicator is that the lagging line can build patience and discipline in your trading because you won’t be chasing the initial thrust but rather waiting for the correction to play out before entering in the direction of the overall trend.
Trading With Ichimoku Checklist
Now that you know the components of Ichimoku here is a checklist that you can print off or use to keep the main components of this dynamic trend following system:
Ichimoku Checklist:
1.Where is Price in Relation to the Cloud?
- Above the cloud -filtered for buy only signals
- In the Cloud - be cautious but ready to jump in on the prior trend or finesse a current position. what the candle stick formations heavily
- Below the cloud - filtered for short only trades
2. Is price consistently on one side of the cloud or is price whipping around on both sides consistently?
- Ichimoku is best used with clear trends and should be set aside during ranging markets.
3. Which level of the Ichimoku would like to use to place your stop?
- If you use Ichimoku to place stops as well, you can either use the cloud or the base line.
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Ichimoku: Strategies, Setups and What to Watch for
Many traders have had challenges trading the JPY pairs. However the Japanese traders have had large amounts of success in trading their native currency. This is not just due to familiarity, but the approach and indicators they use to measure key levels for these pairs - the Ichimoku Cloud.
This indicator is not only easy to learn, but highly accurate in giving JPY trading signals. When one learns how to use it correctly, one can build a very high accuracy and profit ratio trading the JPY pairs which can be some of the most volatile. Taking this class can give you a chance to master trading the yen and learn a unique approach to trading the Asian pairs as a whole.
Ichimoku Cloud
Many traders are asked what indicator they would wish to never do without. The answer has never wavered as there is one indicator that clearly illustrates the current trend, helps you time entries, displays support and resistance, clarifies momentum, and shows you when a trend has likely reversed. That indicator is Ichimoku Kinko Hyo or more casually known as Ichimoku.
Ichimoku is a technical or chart indicator that is also a trend trading system in and of itself. The creator of the indicator, Goichi Hosada, introduced Ichimoku as a “one glance” indicator so that in a few seconds you are able to determine whether a tradable trend is present or if you should wait for a better set-up on a specific pair.
Before we break down the components of the indicator in a clear and relatable manner, there are a few helpful things to understand. Ichimoku can be used in both rising and falling markets and can be used in all time frames for any liquid trading instrument. The only time to not use Ichimoku is when no clear trend is present.
Always Start With the Cloud
The cloud is composed of two dynamic lines that are meant to serve multiple functions. However, the primary purpose of the cloud is to help you identify the trend of current price in relation to past price action. Given that protecting your capital is the main battle every trader must face, the cloud helps you to place stops and recognize when you should be bullish or bearish. Many traders will focus on candlesticks or price action analysis around the cloud to see if a decisive reversal or continuation pattern is taking shape.
In the simplest terms, traders who utilize Ichimoku should look for buying entries when price is above the cloud. When price is below the cloud, traders should be looking for temporary corrections higher to enter a sell order in the direction of the trend. The cloud is the cornerstone of all Ichimoku analysis and as such it is the most vital aspect to the indicator.
Time Entries with the Trigger & Base Line
Once you have built a bias of whether to look for buy or sell signals with the cloud, you can then turn to the two unique moving averages provided by Ichimoku. The fast moving average is a 9 period moving average and the slow moving average is a 26 period moving average by default. What is unique about these moving averages is that unlike their western counterparts, the calculation is built on mid-prices as opposed to closing prices. I often refer to the fast moving average as the trigger line and the slow moving average as the base line.
The Ichimoku components are introduced in a specific order because that is how you should analyze or trade the market. Once you’ve confirmed the trend by recognizing price as being below or above the cloud, you can move to the moving averages. If price is above the cloud and the trigger crosses above the base line you have the makings of a buy signal. If price is below the cloud and the trigger crosses below the base line you have the makings of a sell signal.
Confirm Entries with the Mysterious Lagging Line
In addition to the mystery of the cloud, the lagging line often confuses traders. This shouldn’t be the case as it’s a very simple line that is the close of the current candle pushed back 26 periods. When studying Ichimoku, I found that this line was considered by most traditional Japanese traders who utilize mainly Ichimoku as one of the most important components of the indicator.
Once price has broken above or below the cloud and the trigger line is crossing the base line with the trend, you can look to the lagging line as confirmation. The lagging line can best confirm the trade by breaking either above the cloud in a new uptrend or below the cloud in a developing downtrend. Looking above, you can see that the trend often gathers steam nicely after the lagging line breaks through the cloud. Another benefit of using the lagging line as a confirmation indicator is that the lagging line can build patience and discipline in your trading because you won’t be chasing the initial thrust but rather waiting for the correction to play out before entering in the direction of the overall trend.
Trading With Ichimoku Checklist
Now that you know the components of Ichimoku here is a checklist that you can print off or use to keep the main components of this dynamic trend following system:
Ichimoku Checklist:
1.Where is Price in Relation to the Cloud?
- Above the cloud -filtered for buy only signals
- In the Cloud - be cautious but ready to jump in on the prior trend or finesse a current position. what the candle stick formations heavily
- Below the cloud - filtered for short only trades
2. Is price consistently on one side of the cloud or is price whipping around on both sides consistently?
- Ichimoku is best used with clear trends and should be set aside during ranging markets.
3. Which level of the Ichimoku would like to use to place your stop?
- If you use Ichimoku to place stops as well, you can either use the cloud or the base line.
Premium Trading Forum: subscription, public discussion and latest news
Trading Forum wiki || MQL5 channel for the forum
Trading blogs || My blog
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