Ichimoku trading: A complete successful method (system)
Customer reviews
“Ichimoku provides a ‘magic’ tool for traders wishing to get the most complete view of a market.”
Simon Gray BA – BA MPhil MBA MSTA CFTe
I first came across Ichimoku when studying for the exams for membership of the UK’s Society of Technical Analysis. Being familiar with aspects of regular technical analysis such as trends, support/resistance, momentum and volatility, I was used to seeing charts which featured trendlines, horizontal/diagonal support and resistance, moving averages, Fib levels and probably Bollinger Bands combined with a variety of oscillator panels (RSI, MACD, Stochastic etc). Each of these elements came with a variety of settings and parameters to play with resulting in swings from significant but late signals to faster settings and increasingly frequent whipsaws. It was also not enough to look at one timeframe: triple timeframes (eg Daily/240/60 minutes) – all with their own overlays and indicators – were needed for a complete analysis before settling on a strategy and trading plan.
So it was with some relief when I discovered that the Ichimoku indicator consisted of just five elements with default period settings which had been so thoroughly tested that any modification was deemed unnecessary. In short, these five elements overlaid on a candlestick chartare sufficient to give a complete picture of trend and momentum which lets the analyst focus on price.
Ichimoku was conceived by GoichiHosoda in the first part of the 20th century but only became more widely known in the 1990s. Hosoda’s system and its settings (such as look back periods) were based on extensive mathematical and chart research, and it is important that this video is faithful to these original settings and their interpretation. Nothing here has been modified: this video presents Hosoda’s original, real theory of Ichimoku.
Karen’s video begins by giving a comprehensive explanation of how each of the five elementsare constructed. Each is introduced in short 3-5 minute lessons which are typically very clear and easy to follow. The organization and logical sequencing of the lessons emphasizes understanding how lines are constructed and what they represent before moving onto their interpretation.
Karen’s careful description of what each line signifies, lesson by lesson, forms the foundation for a detailed examination of how to read trend direction and momentum from the lines and the Cloud. The same five lines reveal support and resistance levels and suggest where a trend reversal might be more likely. By using carefully selected sequences of charts, the video develops scenarios illustrating these key levels. I found the video’s explanations significantly easier to understand than when reading about them in the few books available on Ichimoku. It was also useful to work through the chart exercises in the video which helped check one’s level of understanding of Ichimoku.
Having dealt with the lines and how to read an Ichimoku chart, the video works through numerous asset charts explaining how to interpret price action and to choose trade entry points, stops and targets using Ichimoku elements. Interestingly, risk:reward ratios can often be improved by this form of analysis.
Unlike other work on Ichimoku which I have read, a substantial part of the video focuses on trading plans and strategies. In particular, this involves the need to examine price action in higher and lower timeframes such as monthly/weekly/daily. With this information, it’s then possible to mark the daily chart with significant support/resistance areas derived from the monthly or weekly charts. Taking this one stop further, the video shows how by using certain software platforms (ieProRealTime) one can also show the weekly cloud and Kijun on a daily chart. By importing key information from higher timeframes, the shorter term analysis becomes more comprehensive and there is less risk of missing key levels which could stop a price move in its tracks.
Having multiple clouds on one chart takes some getting used to, but one’s understanding is helped by the video’s logical progression through the various elements which make up the final chart. Working through the numerous examples of trades, whether short term trades or longer term swing trades, helps cement one’s grasp of the analysis and one’s confidence in getting to grips with the chart detail gradually builds. The course ends with worked examples of trading the release of economic news including US Non-Farm Payrolls
In summary, I found working through this video a much more rewarding experience than reading the various books on Ichimoku which, more often than not, simply provide an explanation of the construction of the Ichimoku elements. This bulk of this video concentrates on teaching analysis, interpretation and understanding of how price is likely to react when faced with an Ichimokulevel which is exactly the information required for successful trading.
Once all the examples are understood and one has a clear understanding of the Ichimoku picture, one realizes that this is a complete analytical system from which one can progress to trading. For experienced technical analysts familiar with more western forms of TA, Ichimoku provides a ‘magic’ tool for traders wishing to get the most complete view of a market.
In short, this video provides a complete training course in a method of analysis which is applicable to all markets, asset classes and timeframes and should therefore be of interest to a wide range of analysts including traders and fund managers.
Simon Gray BA MPhil MBA MSTA.
“It’s a very good investment I recommend to anyone looking for success in his trading.”
Ray Avornyoh – CGMT
Introduction to Ichimoku
The first part of the video captures in an intriguing way the history on Ichimoku, the five lines that composed it and how they are properly calculated on the price chart. When it comes to how advantageous Ichimoku is in relation to other technical analysis tools, Karen is on top and this makes the use of Ichimoku very interesting. Indeed Ichimoku lesson has not been properly promoted till Karen came onto the scene.
Advanced concepts
The advance concept of Ichimoku is presented through so many examples that it shows the power of this wonderful technical indicator. Now, existing writing on Ichimoku including the very noisy Americans offering various models of Ichimoku courses is actually a waste of time and many of them should see what Karen has done. Karen took multiple time frame analysis with Ichimoku to a different level altogether. Timeframe projection makes chart analysis and profit projection very simple and powerful for people using Ichimoku already.
Lessons are so clearly explained, short and simple that newbies could assume trading to be easy and straight forward without considering the efforts needed to understand the system in its entirety. But as any trader is fully aware of, learning how to trade needs constant efforts and lots of work in front of one’s screen. Ichimoku just makes it easier as all the information needed to enter/ exit a trade and manage a position is clearly set on the chart. An analyst / trader just needs to master this kind of reading which can come quickly and easily after following this training video.
It’s a very good investment I recommend to anyone looking for success in his trading.
Ray Avornyoh, CGMT
“this tool can provide you with most reliable trade signals”
Denis G. – PhD Ivy League.
Hello fellow traders,
I’ve been trading for twenty years. I’m swing trading mainly on indices (Dax, DJIA and Nasdaq) and commodities (Oil, sugar).
I’m a pure chartist and my main indicators are: Bollinger bands, MACD.
Last February, the high volatility and the erratic movements of the markets caused me some headaches. I looked for a tool that would allow me to have a global vision while being responsive. That’s when fellow traders told me about Ichimoku Kinko Hyo.
Ichimoku cloud is short for “Ichimoku Kinko Hyo” and is a combination of five lines. This tool can be used to recognize the direction of the trend. It can also define accurate support and resistance levels. Used as a trading tool it helps you identify buy and sell signals when trading on charts and assists you with your final trading strategy.
After reading several articles on trading blogs, I decided to go deeper into the subject and subscribed for the online training of Karen Péloille (world-renowned Ichimoku cloud specialist).
This training of more than 5 hours is well structured. The theoretical part allows to assimilate the bases of the tool namely the components (Kijun, Tenkan, Kumo …) and their specificities. The practical part, more than 4 hours, plunges us into the real subject with concrete examples explaining us progressively all the subtleties of Ichimoku cloud from the analysis of a chart, the building of a trading strategy to the follow up of a trade. Karen even went as to how trade examples that didn’t work as initially planned and explained how to close such position minimizing the loss. The last examples about short term trades during statistics release is a must and show all the potentiality of Ichimoku.
After following Karen’s online training, I came to the conclusion that:
By applying Ichimoku cloud to your chart, you will know a lot of secrets about the market movements right away and above all this tool can provide you with most reliable trade signals.
Today, Ichimoku cloud is an integral part of my trading strategy and this course is one of my best investments of the year…
Cheers
Denis G. PhD Ivy League.
“for anyone interested to learn this wonderful trading technique, from beginners to experienced traders.”
Gwenaël A. – MBA in bankings & finance
At last, the training video about Ichimoku from a well known expert…
This training is :
-complete : after a quick presentation of technical analysis basics Ichimoku theory is clearly explained. Then follow the chart analysis system with lots of examples and how to set trading strategies.
Trades that went well as well as ones that failed are presented with all the necessary explanations and for the most experienced traders, Karen explains how she trades economic releases on very short term time frame.
– very clear lecture : no needless words, no repetitive explanations. Examples are numerous and very well commentated, describing as many cases as possible for every notion presented.
The whole training course lasts 5h30 (1h of useful introduction + 4h30 training) but is worth double time as it’s a much condensed presentation.
– easy to follow : the training is divided in small chapters (between 2 and 10 minutes ) which enables the learner to remain fully concentrate and it’s easy to come back to a specific point whenever necessary with the complete detailed menu.
– handy : at the end of this training, one can analyses a market and trade successfully with Ichimoku. Karen completely shares her trading experience and gives all the necessary information for using the Ichimoku system as she does as a professional trader. No question is left unanswered.
This training video is for anyone interested to learn this wonderful trading technique, from beginners to experienced traders. I even recommend this system of market analysis to fund managers and technical analysts.
I really enjoyed following this training and thanks to Karen’s clear explanations, I drastically improved my trading and I very quickly got back my financial investment.
With this method, I am now a regular winning trader. Thank you Karen.
Gwenaël A., MBA in bankings & finance.
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