Tracking DOW, Nasdaq and S&P 500

[Les]

Coincidently, I am also starting to look at Ichimoku. I see that you use it on index and stocks. However, is this more applicable for shorter time frame? Eg day trading?

For a short trigger using this indicator, I believe the price must be below the cloud and baseline. So is it too early to short right?

[Research Department]

Hi Les, 

Ichimoku originally is catered for daily chart but in recent years, there are people using it on a shorter time frame as well on the Forex and Futures market.

Shorting the market depends on Tenkan-Sen, Kijun-Sen and the Chikou Span. So if the Tenkan-sen crosses below the Kijun-Sen, it serves as the first warning. Followed by when the Chikou span crosses below the candles and finally when the candles break below the Senkou-span A and B AKA the Kumo. This is what we call the Sanyaku Gyakuten. Meaning Three Dead cross signals. However, when the prices break below the cloud, prices have already move much more. So to incorporate price action strategies together with Ichimoku will be an effective way to capture the market high and lows. Not forgetting the risk management as well

So if you have listened to my webinar earlier on, I indicate that there may be a correction in the index for form sub-waves ABC before resuming a rebound. So do exercise your discretion and risk management trading the market. Thank you 

Best Regards, 

Chua Wei Ren

[Author]

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