Automated forex trading system based on the Ichimoku indicator. Expert advisor robot trader built for metatrader MT4. Ichimoku meaning in Japanese as ” one look” was created by Japanese newspaper writer Goichi Hosada.
Unlike statisticians or mathematicians in the industry this was a work of person who used his expertise and few assistants and created technical indicator that is so robust and strong in today’s trading. There is strong pipwinner system built around this type of trading and it compliments other trading systems in place. Take a look a the video here.
The Ichimoku indicator is used to measure short term time frame momentum along with areas of support and resistance as they occur in naturally. The standard Ichimoku is comprised of five lines:
— This is a line made up by using high and lows for the 7 to 9 periods. This can be interpreted as short term moving averages.
— This line is same as the above Tenkan-Sen but it consists of longer time frames. Many traders use cross overs of kijun and Tenkan as entry and exits points .
The cloud is made up of space between the Senkou Span A and Senkou Span B. Senkou Span A is calculated by subtracting : (Tenkan – Kijun)/2 and the Senkou Span B is calculated by (Highest High- Lowest Low)/2 over typically 52 periods.
The crossovers are used for entry and exits points.
— Lastly the Chikou span is created by plotting recent price movement twenty six periods behind the latest closing price.
www.fxtrainingzone.com EUR/USD Momentum Trade – Strong, high momentum candle on the 1D breaking through previous support. – 4H Doji which shows stall of upward momentum – 3rd wave in Elliot Wave – Found strong resistance of 8EMA
After some quick pre-London pips we found ourselves in a precarious position on the GBP/USD as the London session opened 3am EST. While cable was rising, and paying off on some longs after bouncing on the previous day’s 61.8 Fibonacci level, it was fast approaching the 1.51 area where we also had an overlapping 38.2 Fib level from the recent highs on the 4 hour chart. This was setting us up for a possible double top scenario, with at least 40’ish pips before any support could be found. In this video I show how we used a 1 minute chart 5ema/8sma cross and lower low for entry confirmation off of the double top/resistance zone. This got us in around 1.5998-99, with a stop around 1.5110 or so, this has us risking maybe 12-15 pips total. Still a decent 3 to 1 reward vs. risk ratio before support showed up on the 15m chart. Ultimately we ended up breaking support and exiting the short on a new 1m 5/8 cross for a grand total of a 62 pip trade. Considering how difficult it was to find sustainable trade plans during today’s London session (it was a tough night), a 62 pip trade was enormous. Also with the upcoming BOE rate announcement later this morning we may finally break this area, and start a quality ‘ride the 5ema’ on the daily chart back to the 153 area, time will tell. Have a great weekend folks, and don’t forget to visit Wayne’s Free FXStreet US Non-Farm Payrolls webinar tomorrow morning. FXBootcamp London Currency Coach- Christian Stephens