Ichimoku

Trading
Strategy
A short intro to the
Ichimoku Kinko Hyo
Japanese analyst Goichi Hosoda created
Ichimoku Kinko Hyo (or the Ichimoku
Cloud) in 1930. The instrument combines
several valuable features: it defines support
and resistance, identifies trend direction,
and provides trading signals.
But… where

is the cloud?

Each Ichimoku indicator

component represents a certain
aspect of the price action and

is calculated accordingly. Two

of these lines form a shaded area
called the Ichimoku Cloud.
Okay. What
should I know?
The main rule while using the
Ichimoku is always to set

it towards the trend. Also, it's
better not to use the indicator
during the sideways market
since it might give false signals.
Can you
recommend

any strategy?

Sure, right here!

Ichimoku Trading Strategy

Remember, the strategy


is recommendatory. Apply

it based on your trading style
and previous experience

Assets: any of the Majors

Timeframe: 1 minute.

Instruments: Ichimoku Kinko

Hyo with default settings.

Once again, a trend is necessary

while trading with the Ichimoku.
Therefore, pay special attention
to the cloud and its location
relative to the quotes.
 Trade UP when: The blue line
crosses the red line upwards
under the cloud;

The price candle closes above

the cloud.

Entry: Open a trade UP for 5-10

minutes, depending on the
volatility of the asset.

Resistance level
 Trade DOWN when:

The blue line crosses the red line

downwards under the cloud;

The price candle closes below

the cloud or breaks through it.

Entry: Open a trade DOWN for

5-10 minutes, depending on the
volatility of the asset.

Resistance level
Any more advice?

When the price is inside the

cloud, don't make trades, as this
indicates a lack of a trend.

If the price breaks through the

cloud in one intense movement,
the signal to trade is stronger
and more reliable.

When trading, you can use the

Ichimoku indicator with RSI,
Stochastic, candlestick analysis,
or Fibonacci tools to reinsure
yourself.

Ichimoku Trading
Strategy

Caution!
This article is not intended 

to be investment advice. 

No strategy can guarantee 100%

correct trading results. 

A successful trading result 

in the past is not a guarantee that

it will be repeated in the future.
Any information contained 

in this article is for informational 

purposes only.