Guide for beginners! Hope you enjoy. Inspired by Trader Kei!
Here's a brief Ichimoku Kinko Hyo Reference
Follow these steps:
1.) Identify a major trend (Daily or H4)
-Is the Kumo Up or Down?
-What's the Angle?
-What's the length?
-What's the thickness?
-If yes, Is Senkou Span B Up or Down? Or is "SSB" Flat and "SSA" Up or Down?* (If no, hold until KUMO is up/down)
-*If yes, Is the Kijun Sen UP or Down?
-If no, hold until "SSB" and/or "SSA" is Up or Down (Now look for confirmation on H1/M30 timeframes.)
2.) Trend Confirmation (H1 or M30) Ask yourself the same questions from above. If you find confluence, move on to smaller timeframes to find trading edges.
3.) Identify your Trading Edges
-Examples include:
-Head and Shoulders Patterns, Double Tops and Double Bottoms, Pin Bars, Engulfing Candles, Dojis, S&R Zones, Trendlines, Counter Trendlines, Gold Cross, Dead Cross, Fibonacci etc.
4.) Identify your exit timing
-Place Stop Loss At recent HIGH or LOW. Basically, Above or Below market structure.
-Risk 1% per trade.
-Move STOP LOSS to BREAKEVEN after pull back or retest of breakout.
-Use MA crosses, Chikou Span Crosses and Price action, breaking through cloud as confirmation to exit.
Hope this helps!
Here's a brief Ichimoku Kinko Hyo Reference
Follow these steps:
1.) Identify a major trend (Daily or H4)
-Is the Kumo Up or Down?
-What's the Angle?
-What's the length?
-What's the thickness?
-If yes, Is Senkou Span B Up or Down? Or is "SSB" Flat and "SSA" Up or Down?* (If no, hold until KUMO is up/down)
-*If yes, Is the Kijun Sen UP or Down?
-If no, hold until "SSB" and/or "SSA" is Up or Down (Now look for confirmation on H1/M30 timeframes.)
2.) Trend Confirmation (H1 or M30) Ask yourself the same questions from above. If you find confluence, move on to smaller timeframes to find trading edges.
3.) Identify your Trading Edges
-Examples include:
-Head and Shoulders Patterns, Double Tops and Double Bottoms, Pin Bars, Engulfing Candles, Dojis, S&R Zones, Trendlines, Counter Trendlines, Gold Cross, Dead Cross, Fibonacci etc.
4.) Identify your exit timing
-Place Stop Loss At recent HIGH or LOW. Basically, Above or Below market structure.
-Risk 1% per trade.
-Move STOP LOSS to BREAKEVEN after pull back or retest of breakout.
-Use MA crosses, Chikou Span Crosses and Price action, breaking through cloud as confirmation to exit.
Hope this helps!
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