Ichimoku Signals Cloud Indicator

The Ichimoku Signals Cloud Indicator is an advanced Ichimoku Kinko Hyo forex indicator with some additional moving average crossover trading signals. It is a trend-following indicator in nature. That gauge is suitable for both beginners and advanced forex traders.

The Ichimoku Signals Cloud Indicator fits all kinds of timeframes and currency pairs. It is displayed directly on the main trading chart. The default settings can be modified directly from the input tab. Feel free to experiment with the settings and parameters to fit your personal preferences.

How does it work? How to apply in trading?

Trading Rules Explanation

The Ichimoku Signals Cloud Indicator applies the same basic principles as trading with the standard Ichimoku Kinko Hyo indicator, but additionally, you need to look at the moving average crossovers. When the price is above the cloud: buy on dips in the uptrend when the red moving average line crosses above the blue moving average line. Conversely, when the price is below the cloud: sell on rallies in the downtrend when the red moving average line crosses below the blue moving average.

Buy Signal

Follow these steps for a long trade:

Price is located above the cloud
The red moving average is above the blue moving average
Price swings higher from recent low swing
Buy trade is triggered after the above conditions are met
Set stop loss a few pips below the last swing low of the market
Take profit or exit trade whenever price cross into the cloud or use your own method of trade exit