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Ichimokuchart

ichimoku trade : short positionthese positives can be a pullback to ichimoku cloud. then I put sell position at 40.26$ and put stop upper than cloud with buffer. if trend start, I will change stop with kijunsen. by a parallel channel it should come to 30.38$. other parallel channel shows a good support that is available at the picture(about 30$ but it is dynamic). sell pos.: 40.26$ stop loss: ichimoku cloud(about 47$) target: reach the stop loss of kijunsen(maybe about 30$)
KRAKEN:DOTUSDShort
by ebi_shj
A Comprehensive Guide to the Ichimoku CloudHello traders, in this post, we will be talking about how to trade using the Ichimoku Cloud. This is one of the most common, yet very effective and unique indicators to date and is prized by many traders as it foreshadows possible support and resistance levels. ------ What is the Ichimoku Cloud Indicator? The Ichimoku Cloud indicator is an extremely versatile indicator that can help define possible support and resistance levels. It helps identify not only the support and resistance, but also provides data to help identify the overall direction of price, give a good idea on the momentum of price action, and can be used strictly alone as a trading signal - if used properly. Even though the Ichimoku may seem complicated, it is actually rather a very straightforward indicator. The concepts are easy to understand and the signals are well defined. The Ichimoku indicator takes multiple averages and plots them on the chart that uses the figures to compute a 'cloud' which attempts to forecast where the price may find support or resistance in the FUTURE. The keyword here is future. This is one of the few indicators that can actually give you possible support in the future and present time. The Ichimoku has 5 simple components: 1) Conversion Line 2) Base Line 3) Lagging Span 4) Leading Span A (this is what creates the cloud) 5) Leading Span B (this is what creates the cloud) Conversion Line: - On it's own, the conversion line shows the short-term price momentum - The mid-point price over the last 9 periods (which is also the default value) - An area of minor support or resistance The market price above the conversion line shows the possible short-term upward momentum, allowing the trader to focus on buy signals. If the price is below the conversion line, it would signal short-term downward momentum, and just like when it trades above, you would want to find sell signals when it trades below the conversion line. The conversion line is not typically used on its own, but rather used in conjunction with the other components of the Ichimoku as listed above in the 5 components. Base Line: The Base Line shows the support and resistance levels on the medium timeframe. The midpoint of the high and low price is calculated over the last 26 periods within the chart. Just like the conversion line, on its own, can be used to find price momentum. If the price is above the base line, it means it is trading above the 26 period midpoint, and therefore has an upward bias. Vice versa when price is below the base line. Unless there is a very strong trend, the base line will often not be near the price. When the base line is often near or intersecting (crossing) with the price, it isn't helpful to determine the trend direction. Lagging Span: The Lagging Span is created by plotting closing prices 26 periods behind the latest closing price of an instrument. It is designed to allow traders to VISUALIZE the relationship between the current and prior trend, as well as to spot potential trend reversals. One of the key ways to use the Lagging Span is to view its relationship to the current price. When the price is below the lagging span, this is usually an indication that there is a trend within the price and can indicate that it will move higher. When the price is trading below the lagging span line, this is often an indication that there is WEAKNESS within the price. If the lagging span line is about to cross above the prior price line, this can be a confirmation of a bullish signal. If the lagging span line is crossing below the price, this can indicate the opposite, a bearish signal. Any interaction with the past price line is an indication of a choppy or sideways market and if a lagging is descending quickly into a past price line, it could be a sign of exhaustion for price. Kumo Cloud (or Cloud for short): The Kumo Cloud is formed via two lines, the Leading Span A, and the Leading Span B. The Kumo Cloud gives traders support and resistance levels that can be projected into the FUTURE. Not many indicators can give a price projection based on the future. It is very different from many other indicators because it provides support and resistance levels for the current data and time taken into account. Moving averages, for example, only give the present and past data as possible support and resistance, and doesn't give any indication of possible future support or resistances. The uptrend is indicated via a green cloud as shown in the chart above. The uptrend is strengthened when the leading Span A (green cloud line) is rising and is above the Leading Span B (red cloud line). Conversely, a downtrend is produced when the Leading Span A is BELOW the Leading Span B line - which creates the red cloud. As stated above, the Kumo cloud is shifted forward 26 periods that provides future support and/or resistance. If the cloud is THICK = STRONG Support/Resistance If the cloud is THIN = WEAK Support/Resistance If the price is above the cloud, then there is enough of a trend to be in place that provides buying opportunities. If the price is below the cloud, then it's considered to be under selling pressure that can help provide sell signals. The longer the price action stays above or below the cloud, the stronger the trend and the more support/resistance the cloud offers. The Kumo Cloud is suitable for long term traders as well as for trend/momentum traders. When combined with the MACD, for example, which is another momentum indicator, can provide high probability results. The price relationship to the cloud can be defined as when the father the price action is from it, the stronger the trend and more volatile it can be. You want to avoid trading inside of the Kumo Cloud as it usually means that the market is indecisive. Settings for the Ichimoku: The Ichimoku relies on only three different time periods in the calculation: 9, 26, and 52. The reason is because the Japanese markets used to be open for six days of the week, meaning that the number 9 represented a week and a half of trading. 26 equals the number of trading days in a typical month (30 minus four Sundays), and 52 equals two months of trading days. Japanese markets now only trade 5 periods per week - so some practitioners of the Ichimoku suggest revising the settings to: 7, 22, and 44. In my personal experience, however, the traditional values of 9, 26, and 52, have performed far better. Limitations: The Ichimoku, of course, does have its limitations. The indicator can make the chart look incredibly busy with all of the lines. To help remedy this, depending on your trading needs, certain lines can be removed. It can actually be helpful to remove the lines, and keep only the cloud. In conclusion, just focus on which lines provide the most information for you as a trader, and then consider hiding the rest of the lines as they can be often distracting. The cloud limitations can also become irrelevant for long periods of time, as the price remains way above or below it, At times like these, the conversion line, base line and their crossovers, can then, also, become more of an importance as they generally stick closer to the price. Here is an example of when we remove all of the lines, only keeping the cloud and the leading spans:
BITSTAMP:BTCUSDEducation
by XForceGlobal
171
Ichimoku CloudToday i am gonna show you why you have to use ichimoku cloud with CME and why you should avoid it with Futures or Spot trading. ( Unless you don't change settings in Ichimoku ) if you keep Ichimoku with his original settings, they are adapted for a closure of the markets every Week-Ends, that's why ichimoku is mostly used in Forex or Stocks. What about Bitcoin ? - CME are closing on Week-end that's why you can see a GAP every weeks. - Perpetuals Futures never close ( That's why they call them perpetuals :D ) - Spot Margin Never Close also - i used H12 Timeframe + i kept only the cloud - So now you just compare the 2 Charts and you will get very fast the aberrations between CME and Binance Perpetual Futures. - Those little anomalies can drive you to make some big mistakes while using the cloud, so Stay Safe! And remember that "The sun always shines above the clouds!" Happy Tr4Ding !
by thecryer
4
The case for a Bullish ETH The recent drop in the market was a little overdue but that did not make it sting any less. Now the dust has relatively settled from that huge leg down, the question that will inevitably be asked by everyone is "what next?". "Do I have to liquidate my entire stash of digital beans and run for the comfy hills of Fiat as fast as my stubble little legs can carry me to escape the impending destruction of all the shitcoins I love and cherish?" Well, not yet. There are a number of things we need to look at to determine if market structure has really shifted to a bearish bias and one of the 'good' things about the parabolic run we had with ETH is that the huge sell off hasn't even dented the daily 200 ma. I'm a relatively simple man, the pa is above the 200 ema on the 1d, I'm long term bullish. If you have followed my charting before, you'll know my two favourite TA tools are FIBs and Ich clouds. Ich can be fantastic for determining and clarifying overall market sentiment and key support and resistance levels and on this ETH chart we have one tasty cloud. The huge sell off yesterday bounced perfectly off the bottom line of the cloud (the Tenkan Sen) and today we have tested the top blue line of the cloud (the Kijun Sen). The cloud essentially acts as a dynamic support/resistance structure whilst giving us a peak into the future market sentiment as it rolls before the price. Essentially, if the cloud 'twists' and turns red from the blue Kijun Sen crossing below the red Tenkan Sen its a pretty good indication of a bearish market. This has not happened, the future cloud is still green and lovely so, for now, the market sentiment is bullish. Another TA I like to use is the Stoch RSI, here we can see severely underbought areas and backtest them against PA. ETH has had two similar massively underbought areas on 28/2 and 25/3 which both signified bottoms and predated new rallies. However, in the short term I would urge caution, this pa is messy and will chop heavily for hours in not days, wait for clear signs of a recovery before going full chimp mode. Does the current PA signify a huge rally incoming for ETH? History does not always repeat itself, but it can rhyme.
Long
by zoopzoopboopboop