1. What Is the Ichimoku Cloud?
The Ichimoku Cloud is a comprehensive chart-analysis tool developed in Japan. One indicator displays trend, support and resistance, and momentum simultaneously.
2. Five Components
- Tenkan-sen, the conversion line — The nine-day midpoint; short-term trend
- Kijun-sen, the base line — The 26-day midpoint; medium-term trend
- Leading Span A — The average of the conversion and base lines; a cloud boundary
- Leading Span B — The 52-day midpoint; a cloud boundary
- Chikou, the lagging span — The current price plotted 26 days earlier
3. Trading Signals
📊 Core Signals
Bullish: Price above the cloud, a green cloud (A > B), and conversion line above base line
Bearish: Price below the cloud, a red cloud (B > A), and conversion line below base line
Cloud thickness indicates the strength of support or resistance
4. AI's Combined Analysis
NOONOO TRADING makes trading decisions by analyzing multiple indicators together, including Ichimoku.