If you are completely new to ichimoku trading you might want to check out these three guides to help you get started
- Ichimoku cloud settings for tradingview
- Advanced Ichimoku Cloud Settings for Tradingview (optional)
- Beginners guide to the Ichimoku trading strategy
Rule #1: Follow the Market, DO NOT TRY TO LEAD IT
Trend trading means that you are a follower of the market. A follower does not act before the one he follows. Therefore, you must recognize and obey this first rule of trend trading.
Rule #2: To follow the market follow the Kijun Sen (KS)
On the chart above there is a dark red line. It is called the Kijun Sen (KS). The KS is the market. Follow the KS. If the KS angles up then that means the market is going up. If it goes flat after moving up, then it is still going up bu needs a rest before continuing it’s journey.
Rule #3: Bulls live in the north and bears live in the south
Whenever the KS is moving up YOU MUST BE A BULL
Whenever the KS is moving down YOU MUST BE A BEAR
Bulls die in the south and bears die in the north
Rule #4: Whenever you feel lost, look at the clouds
Sometimes the KS might get tired of being flat for too long and thus change its direction without a real reason. When this happens look at the ichi cloud for guidance.
These are four short rules on ichimoku trading. Enjoy