Indicators

Ichimoku Kinko Hyo

334 views 1

What is the Ichimoku Kinko Hyo

The Ichimoku Kinko Hyo, or Ichimoku for short, is a technical indicator that is used to gauge momentum along with future areas of support and resistance. The all-in-one technical indicator is comprised of five lines called the tenkan-sen, kijun-sen, senkou span A, senkou span B and chikou span.

Paratica Ichimoku Indicator

Paratica Ichimoku Indicator


Understanding Ichimoku Kinko Hyo

The Ichimoku Kinko Hyo indicator was originally developed by a Japanese newspaper writer to combine various technical strategies into a single indicator that could be easily implemented and interpreted. In Japanese, “ichimoku” translates to “one look,” meaning traders only have to take one look at the chart to determine momentum, support, and resistance.

Ichimoku may look very complicated to novice traders that haven’t seen it before, but the complexity quickly disappears with an understanding of what the various lines mean and why they are used.

The Ichimoku indicator is best used in conjunction with other forms of technical analysis despite its goal of being an all-in-one indicator.

Ichimoku Kinko Hyo Interpretation

There are five key components to the Ichimoku indicator:

  • Tenkan-sen – The tenkan-sen, or conversion line, is calculated by adding the highest high and the highest low over the past nine periods and then dividing the result by two. The resulting line represents a key support and resistance level, as well as a signal line for reversals.
  • Kijun-sen – The kijun-sen, or base line, is calculated by adding the highest high and the lowest low over the past 26 periods and dividing the result by two. The resulting line represents a key support and resistance level, a confirmation of a trend change, and can be used as a trailing stop-loss point.
  • Senkou Span A – The senkou span A, or leading span A, is calculated by adding the tenkan-sen and the kijun-sen, dividing the result by two, and then plotting the result 26 periods ahead. The resulting line forms one edge of the kumo – or cloud – that’s used to identify future areas of support and resistance.
  • Senkou Span B – The senkou span B, or leading span B, is calculated by adding the highest high and the lowest low over the past 52 periods, dividing it by two and then plotting the result 26 periods ahead. The resulting line forms the other edge of the kumo that’s used to identify future areas of support and resistance.
  • Chikou Span – The chikou span, or lagging span, is the current period’s closing price plotted 26 days back on the chart. This line is used to show possible areas of support and resistance.

Example of an Ichimoku Kinko Hyo Chart

The following is an example of an Ichimoku indicator plotted on a chart:

Paratica Ichimoku Indicator - 2

Paratica Ichimoku Indicator – 2


In this example, the Ichimoku cloud is the area that’s shaded green, which represents a key area of support and resistance. The chart shows that the SPDR S&P 500 ETF remains in a bullish uptrend since the current price is trading above the cloud. If the price were to enter the cloud, traders would watch for a potential reversal of the trend.

Was this helpful?

36 Comments
  • Woah! Im really digging the template/theme of this site. Its simple, yet effective. A lot of times its difficult to get that perfect balance between usability and visual appeal. I must say that youve done a excellent job with this. Additionally, the blog loads very quick for me on Chrome. Superb Blog!

    26 March 2021 at 16:49
  • I am definitely bookmarking this blog and sharing it with my friends. You will be getting plenty of visitors to your blog from me! http://www.piano.m106.com

    30 March 2021 at 13:51
  • Ricky says:

    Good blog post. I definitely love this website. Continue the good work!

    8 May 2021 at 05:39
  • Adrianne says:

    Ahaa, its fastidious discussion regarding this piece of writing at this place at this webpage, I have read
    all that, so now me also commenting at this
    place.

    10 May 2021 at 07:42
  • I think this is one of the most vital info for me. And i am glad reading your article.
    But should remark on some general things, The web site style is ideal, the
    articles is really excellent : D. Good job, cheers

    Feel free to surf to my web site – www 918kayaapk

    10 May 2021 at 08:26
  • Hello there! Do you know if they make any plugins to protect against hackers?
    I’m kinda paranoid about losing everything I’ve worked hard on. Any suggestions?

    Here is my blog post; i1 sky1388 (918kiss-m.com)

    10 May 2021 at 08:33
  • This blog was… how do you say it? Relevant!!
    Finally I have found something which helped me. Kudos!

    My blog; free download ok388

    10 May 2021 at 08:52
  • I do believe all the ideas you have presented on your post.
    They are very convincing and can certainly work.
    Still, the posts are too quick for newbies. May just you please prolong them a bit from next time?
    Thank you for the post.

    My web blog; kiosk 918kiss 2

    10 May 2021 at 10:15
  • Having read this I thought it was very enlightening.
    I appreciate you finding the time and effort to put this article
    together. I once again find myself spending way too
    much time both reading and leaving comments. But so what, it was still worth it!

    Here is my page – wukong333 game

    10 May 2021 at 10:22
  • We absolutely love your blog and find many of your post’s to be what precisely I’m looking for.
    Does one offer guest writers to write content to suit your needs?
    I wouldn’t mind writing a post or elaborating on some of the
    subjects you write concerning here. Again, awesome web site!

    Feel free to visit my site lionking888 download

    10 May 2021 at 10:27
  • Hey I know this is off topic but I was wondering if
    you knew of any widgets I could add to my blog that automatically tweet my
    newest twitter updates. I’ve been looking for a plug-in like
    this for quite some time and was hoping maybe you would have some
    experience with something like this. Please let me know if you run into anything.
    I truly enjoy reading your blog and I look forward
    to your new updates.

    My site: cara id test 3win8

    10 May 2021 at 10:32
  • I love your blog.. very nice colors & theme. Did you create this website yourself or did you hire someone to do it
    for you? Plz answer back as I’m looking to create my own blog and would like to find out where u got this from.
    thank you

    Visit my homepage – pussy888 for pc (918kiss-m.Com)

    10 May 2021 at 10:40
  • Why people still use to read news papers when in this technological globe all is available on net?

    Also visit my homepage :: www ntc33apk

    10 May 2021 at 10:44
  • Pretty nice post. I just stumbled upon your weblog and wished to say
    that I have truly enjoyed surfing around your
    blog posts. After all I’ll be subscribing to your rss feed and I hope you write again soon!

    My web site :: wm casino company

    10 May 2021 at 11:04
  • I do not know whether it’s just me or if perhaps everybody else encountering problems with your website.
    It appears like some of the text on your posts are running off the
    screen. Can somebody else please comment and let me know if
    this is happening to them as well? This could be a problem with my
    internet browser because I’ve had this happen previously.

    Cheers

    my homepage :: greatwall99 Jackpot

    10 May 2021 at 11:45
  • This is very interesting, You’re a very skilled
    blogger. I have joined your feed and look forward to seeking more of your
    fantastic post. Also, I’ve shared your site in my social networks!

    my website – download lpe88 android (918kiss-m.com)

    10 May 2021 at 12:02
  • When some one searches for his vital thing, thus he/she needs to be available that in detail, thus that thing is
    maintained over here.

    Look into my blog post; calibet Agent

    10 May 2021 at 12:15
  • Everything is very open with a clear explanation of the issues.

    It was definitely informative. Your website is very useful.

    Thanks for sharing!

    Stop by my web-site … playboy2apk

    10 May 2021 at 12:42
  • You really make it appear so easy with your presentation but I
    find this topic to be really something which I think I would by no
    means understand. It sort of feels too complex and extremely
    wide for me. I am looking ahead in your next post, I will attempt to get the hold of it!

    My website – king855apk – 918kiss-m.com

    10 May 2021 at 13:35
  • My spouse and I absolutely love your blog and find the majority of your post’s to be
    exactly what I’m looking for. can you offer guest writers to write content for you?
    I wouldn’t mind producing a post or elaborating on some of the subjects you write about here.
    Again, awesome web site!

    10 May 2021 at 13:56
  • We’re a group of volunteers and starting a new scheme in our community.
    Your site offered us with valuable information to
    work on. You’ve done a formidable job and our entire community will be
    thankful to you.

    Also visit my blog post – id test love138 – 918kiss-m.com,

    10 May 2021 at 14:03
  • Howdy just wanted to give you a brief heads up and let you know a few of the
    pictures aren’t loading properly. I’m not sure why but I think its a linking
    issue. I’ve tried it in two different internet browsers and both show the
    same outcome.

    Feel free to visit my page; i1 epicwin (https://918kiss-m.com/)

    10 May 2021 at 14:23
  • Have you ever considered writing an ebook or guest
    authoring on other sites? I have a blog based
    on the same topics you discuss and would love to have you share
    some stories/information. I know my audience would
    appreciate your work. If you are even remotely interested,
    feel free to send me an email.

    Here is my web page: 918kiss plusapk (https://918kiss-m.com/918kissplus)

    10 May 2021 at 14:31
  • Homer says:

    Your style is really unique compared to other people I have
    read stuff from. Thank you for posting when you’ve got the opportunity, Guess
    I’ll just bookmark this web site.

    Stop by my site :: rollex11 game, Homer,

    10 May 2021 at 14:53
  • Link exchange is nothing else however it is just placing the other
    person’s website link on your page at suitable place and other person will
    also do same in support of you.

    10 May 2021 at 15:41
  • Simply wish to say your article is as amazing.
    The clarity in your post is simply great and i can assume you are an expert on this subject.
    Well with your permission let me to grab your RSS feed to keep up to date with
    forthcoming post. Thanks a million and please continue the enjoyable work.

    10 May 2021 at 21:28
  • Good way of describing, and good paragraph to take information concerning my presentation subject
    matter, which i am going to deliver in college.

    10 May 2021 at 21:31
  • I’d like to thank you for the efforts you’ve put
    in penning this site. I am hoping to check out the same high-grade blog posts by
    you in the future as well. In fact, your creative writing abilities has encouraged me to get my own website now 😉

    11 May 2021 at 01:34
  • Thanks for ones marvelous posting! I genuinely enjoyed reading it, you could
    be a great author.I will always bookmark your blog and
    will often come back at some point. I want to encourage you to ultimately continue your great posts, have a nice
    holiday weekend!

    11 May 2021 at 05:51
  • Hi! This is my 1st comment here so I just wanted
    to give a quick shout out and say I genuinely enjoy reading your articles.

    Can you suggest any other blogs/websites/forums that go over the same topics?

    Thank you so much!

    11 May 2021 at 15:12
  • I go to see day-to-day a few web sites and sites to read
    articles, but this weblog presents feature based content.

    11 May 2021 at 15:24
  • If some one needs expert view about blogging and site-building after that i recommend him/her to go to see this
    weblog, Keep up the good job.

    11 May 2021 at 16:11
  • Alteshy says:

    buying cialis online

    11 May 2021 at 17:07
  • I was more than happy to uncover this page. I wanted to thank you for ones time for this particularly
    wonderful read!! I definitely appreciated every
    part of it and I have you saved as a favorite to
    look at new stuff on your website.

    11 May 2021 at 17:49
  • With havin so much content do you ever run into any issues of plagorism or copyright infringement?
    My blog has a lot of unique content I’ve either written myself or
    outsourced but it appears a lot of it is popping it up all over the internet without my authorization. Do you know any methods
    to help reduce content from being stolen? I’d definitely
    appreciate it.

    11 May 2021 at 18:45
  • Hey just wanted to give you a quick heads up. The text in your article seem to be running
    off the screen in Firefox. I’m not sure if this is a formatting issue or something to do with internet browser compatibility but I thought I’d
    post to let you know. The style and design look great though!
    Hope you get the problem fixed soon. Many thanks

    12 May 2021 at 02:03
Leave A Comment