BUY FXO Forum Shares
1316
Shares in the BANK:
We BuyWe Sell
$1.8836$1.9419
Results 1 to 3 of 3

Thread: Ichimoku Kinko Hyo

  1. #1
    Bullish
    Join Date
    Aug 2007
    Posts
    93
    FXO Shares
    0
    FXO Bonus
    0.000
    Thanks
    0
    Thanked 0 Times in 0 Posts

    Default Ichimoku Kinko Hyo

    Characteristic: Support & Resistance Indicator
    Parameter Defaults: ST Period 26 controls the measurement period for the Kijun Sen
    TL Period 9 controls the measurement period for the Tenkan Sen
    DL Period 52 controls the measurement period for the Senkou Span

    Plots: ST Kijun Sen (Base Line)
    TL Tenkan Sen (Conversion Line)
    DL Chikou Span (Lagging Span)
    Span 1 Senkou Span (Leading Span 1)
    S2 Senkou Span 2 (Leading Span2)

    The term "Ichimoku" can be translated from Japanese as "instant view or "one glance", "Kinko" is the equivalent of "equilibrium" or "balance" and "Hyo" means "chart". Hence the full name "Ichimoku Kinko Hyo" actually means "one glance cloud chart" or more appropriately "Instant view of the balance chart". Goichi Hosoda developed Ichimoku Kinko Hyo in the early Showa era (1926-1989) and copyright is owned by Kabushiki Kaisha Hendou Souken. However, Hosoda, a Japanese newspaper writer, only published his findings in 1969 and from that point forward Ichimoku Kinko Hyo has become a permanent feature in Japanese trading rooms.

    The series of lines are very similar to moving averages and are based upon high and low prices. The two Senkou Span (leading) lines are pushed forward in time to represent past support and resistance similar in concept to the idea that once established, support will continue to provide support until broken when it becomes resistance. The area between the two Senkou Span lines is shaded to make it look like a cloud. This "cloud" not only defines the trend but acts as support and resistance for price. A very basic precept is: if price is above the cloud then the trend is higher and vice versa.

  2. #2
    In Profit
    Join Date
    Sep 2007
    Posts
    114
    FXO Shares
    0
    FXO Bonus
    0.000
    Thanks
    0
    Thanked 0 Times in 0 Posts

    Default

    some explanation from http://www.metaquotes.net/techanalys...ators/ichimoku



    Ichimoku Kinko Hyo Technical Indicator is predefined to characterize the market Trend, Support and Resistance Levels, and to generate signals of buying and selling. This indicator works best at weekly and daily charts. When defining the dimension of parameters, four time intervals of different length are used. The values of individual lines composing this indicator are based on these intervals:
    • Tenkan-sen shows the average price value during the first time interval defined as the sum of maximum and minimum within this time, divided by two;
    • Kijun-sen shows the average price value during the second time interval;
    • Senkou Span A shows the middle of the distance between two previous lines shifted forwards by the value of the second time interval;
    • Senkou Span B shows the average price value during the third time interval shifted forwards by the value of the second time interval.
    Chinkou Span shows the closing price of the current candle shifted backwards by the value of the second time interval. The distance between the Senkou lines is hatched with another color and called "cloud". If the price is between these lines, the market should be considered as non-trend, and then the cloud margins form the support and resistance levels.
    • If the price is above the cloud, its upper line forms the first support level, and the second line forms the second support level;
    • If the price is below cloud, the lower line forms the first resistance level, and the upper one forms the second level;
    • If the Chinkou Span line traverses the price chart in the bottom-up direction it is signal to buy. If the Chinkou Span line traverses the price chart in the top-down direction it is signal to sell.
    Kijun-sen is used as an indicator of the market movement. If the price is higher than this indicator, the prices will probably continue to increase. When the price traverses this line the further trend changing is possible.
    Another kind of using the Kijun-sen is giving signals. Signal to buy is generated when the Tenkan-sen line traverses the Kijun-sen in the bottom-up direction. Top-down direction is the signal to sell.
    Tenkan-sen is used as an indicator of the market trend. If this line increases or decreases, the trend exists. When it goes horizontally, it means that the market has come into the channel.


    Remember.
    Trading is not a sprint but a marathon. Compounding money is a powerful thing.
    Be patient and persistent
    Exercise discipline
    Always, Always use stops loss
    Protect your profits at all times.
    Accept your losses like a man. If you cant accept your losses you will become a nerverous trader.
    When in doubt stay out.

  3. #3

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
Disclaimer
2005-2017 © FXOpen All rights reserved. Various trademarks held by their respective owners.

Risk Warning:: Trading on the Forex market involves substantial risks, including complete possible loss of funds and other losses and is not suitable for all members. Clients should make an independent judgment as to whether trading is appropriate for them in the light of their financial condition, investment experience, risk tolerance and other factors.

FXOpen Markets Limited, a company duly registered in Nevis under the company No. C 42235. FXOpen is a member of The Financial Commission.

FXOpen AU Pty Ltd., a company authorised and regulated by the Australian Securities & Investments Commission (ASIC). AFSL 412871ABN 61 143 678 719.

FXOpen Ltd. a company registered in England and Wales under company number 07273392 and is authorised and regulated by the Financial Conduct Authority (previously, the Financial Services Authority) under FCA firm reference number 579202.

FXOpen does not provide services for United States residents.

Join us