Practice shows that more experienced players in the Forex market, using Ichimoku indicator yet no one got a negative result (if we take the unit reports a large enough period). Thus, we can safely recommend the procedure set out below for both beginners market and those who already have experience in the Forex market.
Historical Background
Ichimoku indicator was invented in Japan, a country with ancient traditions of the financial. To her we owe the appearance of one of the first theories of trade in the market, namely, candlestick analysis.
Back in the mid-18th century, came from an ancient samurai clan man named Munehisa (Sokyu) Honma, trading in rice, led the main principles of this analysis to trade rice market.
Clearly, since a lot has changed in the behavior of the market, and methods of analysis, but now Japanese analysts offer the best indicators for use by traders. And the proof of that - the Ichimoku indicator.
General description of the strategy of using Ichimoku indicator
Indicator Ichimoku was created by stock analysts Hosoda, who believed that a member must be on the signals given by the line chico-bedrooms, putting a stop loss for the cloud opposite to the direction input. For example, if we play inside the cloud bottom to top, the stop-loss order, we put a cloud, as if from the top down - that for the top.
Take-profit at the game inside the cloud is another cloud boundary, taking into account the filter (about 10-20 percent of the value of the cloud), while outside the cloud - to receive any return signal, that is, for example, stood at the intersection of the graph line Senkou-SPEN down. Stand up as long as such line-Chico bedrooms upstairs does not cross the graph.
(Theoretically, the signal outputs are spread Tenkan-sen, the reverse crossing the line graph CHICCO-SPEN, opposite the intersection graph of any tench cloud prices).
Hosoda used his indicator to trade the index Nikey. And got very good results.
The strongest signal is the Ichimoku indicator at the four-hour charts. Then - on the hour, then minute charts.
In this case the strongest signal is the breakdown of the schedule line Senkou-spen B, and chico-bedrooms, and then equal in strength - signal lines and the three "golden" and "dead" cross. Thus, we have an indicator that gives us about 65 percent (!) Probability of winning.
Various additional tips on using Ichimoku indicator:
Technical stop-loss. It is set in paragraphs 15-30 of the Euro, pound 20-40, 35-50 and 30-80 in the yen on franc. - To play on the hourly charts. This stop-loss is not reasonably put to daily and weekly charts. (There's always stop-loss orders are set according to the second or 4 ways). At the same time it is placed near a low level (if possible).
Over the next strong level. (We - choose from the fact that the closer - a cloud or a strong level of prices and take the near future).
The value of the stop-loss can be quite large (with the game on the weekly chart, it can reach 200 pips on the day -100-120, on time - 40-50 EUR 50-60 a pound, franc on 70-100, 60 - 90 in the yen).
Stop-loss - always 15 pips (the franc -30). The probability of triggering a stop, we believe a priori equal to not less than 40 percent. (80, if we rise against the trend on the clock, 40 - if the trend. And 50-60 - if the market is flat).
Stop-loss price for the cloud. Stop-loss orders set for the frame of the channel is about 5 points behind him. Practice shows that the game in the channel has the greatest chance of success if we play in the direction of the trend (time) - with the game within days and days - if the game goes on these days.
Game theory it is known that for a sufficiently large number of experiments while playing the game with the sum of the positive you'll eventually win, therefore, with sufficient psychological preparation, this method carries a fairly routine to make money.
We hope that now that you have many years of wisdom of the East, you can finally earn the money you really deserve it!