Thanks Martys,
Will have a look at it today will let you know what i think of it.
Will have a look at it today will let you know what i think of it.
Ichimokukinkouhyou ?
- Thread starter Riskadverse
- Start date
It's called Ichmoku balance chart. Ichmoku is the name of the guy who invented the chart. Ichmoku Sanjing invented it in 1969.
Ichmoku chart is commonly used as one of the tools for technical analysis throughout the asian market. The chart has to be used along with the candle stick. Unlike elliot wave theory, this chart shows the timing and change of trend. Elliot wave theory only shows the trend and previous price.
The chart consist of five lines - turnover, basis, preceding span 1, preceding span 2, and following span.
1. turnover: midpoint of high and low in past nine days.
2. basis: midpoint of high and low in past twenty six days.
3. preceding span 1: midpoint of turnover and basis and precede it 26 days.
4. preceding span 2: midpoint of high and low in past fifty two days and precede it 26 days.
5. following span: move closing price back 26 days
Few simple tips
1. If the turnover line is above basis line, simply it's time to buy. If the turnover line is below basis line, vice versa.
2. If the basis line is above the candle stick, it's resistance. If it's below, it's support.
3. If follwing span moves above the candle stick of 26 days ago, it's considered as strong upward movement. If it fails to move above, then it will get weaker.
4. If following span moves below the candle stick of 26 days ago, then it gets weaker.
I'm attaching DOW chart w/ ichmoku....Hope it helps
Ichmoku chart is commonly used as one of the tools for technical analysis throughout the asian market. The chart has to be used along with the candle stick. Unlike elliot wave theory, this chart shows the timing and change of trend. Elliot wave theory only shows the trend and previous price.
The chart consist of five lines - turnover, basis, preceding span 1, preceding span 2, and following span.
1. turnover: midpoint of high and low in past nine days.
2. basis: midpoint of high and low in past twenty six days.
3. preceding span 1: midpoint of turnover and basis and precede it 26 days.
4. preceding span 2: midpoint of high and low in past fifty two days and precede it 26 days.
5. following span: move closing price back 26 days
Few simple tips
1. If the turnover line is above basis line, simply it's time to buy. If the turnover line is below basis line, vice versa.
2. If the basis line is above the candle stick, it's resistance. If it's below, it's support.
3. If follwing span moves above the candle stick of 26 days ago, it's considered as strong upward movement. If it fails to move above, then it will get weaker.
4. If following span moves below the candle stick of 26 days ago, then it gets weaker.
I'm attaching DOW chart w/ ichmoku....Hope it helps
Thanks Kravat 73, much appreciated.
I have printed off your last reply and am going to look at it when i go home. If you don't mind sending me some stuff on candle sticks, again it will be very much appreciated; i know there is loads on this in the internet and books, but fellow traders opinions are always valued.
I have printed off your last reply and am going to look at it when i go home. If you don't mind sending me some stuff on candle sticks, again it will be very much appreciated; i know there is loads on this in the internet and books, but fellow traders opinions are always valued.
hi
i just thought this link may help
http://www.fx-strategy.com/a30.asp
i can understand why more ppl find it hard to understand the ichimoku due to the many lines drawn over chart. but its actually quite straight forward. if u have metastock u can see more clearly or refer to the link above
basically, there are 2 lines forming the "clouds". you can see it in the chart from the link above (blue shaded region) ichimoku basically tell u to buy above the "cloud" or short below the "cloud" . in my opinion, this is the main idea about ichimoku.
of course there is another 2 lines which give a signal earlier before the price goes above the cloud. one can go one lot from the pre signal and then if prices did move above the cloud, can add on. similarly, you can use the cloud lo as stop out if u r long
there is also price projection line on where likely the price will go.
pardon me, as dun really remember all the exact names of each line while writing this, but i hope it helps.
regards
res
i just thought this link may help
http://www.fx-strategy.com/a30.asp
i can understand why more ppl find it hard to understand the ichimoku due to the many lines drawn over chart. but its actually quite straight forward. if u have metastock u can see more clearly or refer to the link above
basically, there are 2 lines forming the "clouds". you can see it in the chart from the link above (blue shaded region) ichimoku basically tell u to buy above the "cloud" or short below the "cloud" . in my opinion, this is the main idea about ichimoku.
of course there is another 2 lines which give a signal earlier before the price goes above the cloud. one can go one lot from the pre signal and then if prices did move above the cloud, can add on. similarly, you can use the cloud lo as stop out if u r long
there is also price projection line on where likely the price will go.
pardon me, as dun really remember all the exact names of each line while writing this, but i hope it helps.
regards
res
just found one more better link
http://www.forexwatcher.com/eng/ichimoku.htm
senko 1 and 2 form the "cloud" ideally when prices cut from below cloud to above cloud, go long. if it behaves another way, go short, similarly u can use cloud hi and lo as stop losses
the tenkan line and kijun line are pre signals or early signals. thats to say when the line cuts u can go short when above the cloud and go long if below the cloud.
the chiko line is another (lagging) warning signal. beware when it cuts the price candle from above to below. IE warning that market going into weakness. similarly, when it cut from below price candle to above, market gaining strength.
as u can see senko 1 and 2 ( the ending point) is always some time ahead of the price, it just a guide on where price likely go.
generally, if price are betwen senko 1 and 2 is uncertainty.
above the cloud form by senko 1 and 2, go long. if below go short.
this is more of a position trading technique. hope this help
regards,
res
http://www.forexwatcher.com/eng/ichimoku.htm
senko 1 and 2 form the "cloud" ideally when prices cut from below cloud to above cloud, go long. if it behaves another way, go short, similarly u can use cloud hi and lo as stop losses
the tenkan line and kijun line are pre signals or early signals. thats to say when the line cuts u can go short when above the cloud and go long if below the cloud.
the chiko line is another (lagging) warning signal. beware when it cuts the price candle from above to below. IE warning that market going into weakness. similarly, when it cut from below price candle to above, market gaining strength.
as u can see senko 1 and 2 ( the ending point) is always some time ahead of the price, it just a guide on where price likely go.
generally, if price are betwen senko 1 and 2 is uncertainty.
above the cloud form by senko 1 and 2, go long. if below go short.
this is more of a position trading technique. hope this help
regards,
res
No...look at the span lines...I believe this complete system/indicator used on the daily can net some high probability, directional trades without anything else.
The Ichimoku system consists of five lines: Kijun, Tenkan, Chiku, Senkou Span A and Span B.
Michael B.
P.S. The hardest part, is to remember the color of the lines and what they represent.. A simple MA system this is not...more like a complicated one, however.
The Ichimoku system consists of five lines: Kijun, Tenkan, Chiku, Senkou Span A and Span B.
Michael B.
P.S. The hardest part, is to remember the color of the lines and what they represent.. A simple MA system this is not...more like a complicated one, however.
Quote from mhashe:
Gave that link a shot while my ZN Long simmers. My eyes glazed over after the 1st page. I damn near fall asleep. Would'nt a simple moving average crossover pretty much accomplish the same thing.