Add Ichimoku Cloud to chart
EA, indicators & objects (PC)
EA, indicators & objects (PC)
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On MetaTrader4 (MT4) / MetaTrader5 (MT5), you can display the Ichimoku Cloud, a technical indicator developed by Goichi Hosoda (Japan). Based on the Base line, Conversion line, Leading span A, Leading span B, and Lagging span, it helps traders determine when the market will move next. Use the Ichimoku Cloud to understand the power balance between buyers and sellers and predict when the next market shift will occur.
Here we will look at how to add the Ichimoku Cloud to a chart on MT4/MT5.
Switch between MT4/MT5 tabs to check the steps for each.
Step 1
The Ichimoku Cloud can be set up from the menu or the Navigator.
Add Ichimoku from the menu
Click "Insert" in the menu. Hover the pointer over "Indicators" > "Trend" and select "Ichimoku Kinko Hyo".
Add Ichimoku from the Navigator
On the Navigator, click on the "+" sign next to "Indicators" and "Trend". Select "Ichimoku Kinko Hyo" and drag it onto the chart you wish to apply it to.
Or, right-click on "Ichimoku Kinko Hyo" and select "Attach to a Chart".
Step 2
The setting window for Ichimoku Cloud will appear. Set the parameters in the "Parameters", "Colors", and "Visualization" tabs and click "OK".
"Parameters" tab
|
Number |
Item name |
Descriptions |
|---|---|---|
|
1 |
Tenkan-sen |
Set the period for the Conversion line. The unit here is the number of candlesticks. If you select the daily chart and set it to "9", the Conversion line will be formed based on the average of high and low prices for the past 9 days. |
|
2 |
Kijun-sen |
Set the period for the Base line. The unit here is the number of candlesticks. If you select the daily chart and set it to "26", the Base line will be formed based on the average of high and low prices for the past 26 days. |
|
3 |
Senkou Span B |
Set the period for the Leading span B. The unit here is the number of candlesticks. If you select the daily chart and set it to "52", the Leading span B will be formed based on the average of high and low prices for the past 52 days. |
Leading span A and Lagging span use the period set for Base line
The Ichimoku Cloud consists of 5 lines, the Base line, Conversion line, Leading span A and B, and Lagging span. The time period set for the Base line will be applied for the Leading span A and Lagging span. Leading span A takes the average of the Conversion line and the Base line and shifts it to the future by the time period used for the Base line. The Lagging span takes the closing price and shifts it to the past by the time period used for the Base line.The values for the Ichimoku Cloud are usually not changed.
"Colors" tab
Set the colors, line types, and line thicknesses for Ichimoku Cloud.
"Visualization" tab
On the "Visualization" tab, you can show/hide Ichimoku Cloud in the Data Window and specify the timeframes to use Ichimoku Cloud with.
Step 3
Ichimoku Cloud will be displayed on the chart.
Trend signaled by Kumo
The gap between Leading span A and B is called the "Kumo (Cloud)" and it shows the support and resistance levels. The thicker the cloud, the more likely it is that the strong trend will continue. However, if the gap between Leading span A and B shrinks, it signals a trend shift. If the Base line and Conversion line are close together, keep your eyes open.
Step 1
The Ichimoku Cloud can be set up from the menu or the Navigator.
Add Ichimoku from the menu
Click "Insert" in the menu. Hover the pointer over "Indicators" > "Trend" and select "Ichimoku Kinko Hyo".
Add Ichimoku from the Navigator
On the Navigator, go to "Indicators" and click on the "+" sign next to "Trend". Select "Ichimoku Kinko Hyo" and drag it onto the chart you wish to apply it to.
Or, right-click on "Ichimoku Kinko Hyo" and select "Attach to Chart".
Step 2
The setting window for Ichimoku Cloud will appear. Set the parameters in the "Parameters", "Colors", and "Visualization" tab and click "OK".
"Parameters" tab
|
Number |
Item name |
Descriptions |
|---|---|---|
|
1 |
Tenkan-sen |
Set the period for Conversion line. The unit here is the number of candlesticks. If you select the daily chart and set it to "9", the Conversion line for the past 9 days will be generated. |
|
2 |
Kijun-sen |
Set the period for Base line. The unit here is the number of candlesticks. If you select the daily chart and set it to "26", the Base line for the past 26 days will be generated. |
|
3 |
Senkou Span B |
Set the period for Leading span. The unit here is the number of candlesticks. If you select the daily chart and set it to "52", the Leading span B for the past 52 days will be generated. |
Leading span A and Lagging span use the period set for Base line
The Ichimoku Cloud consists of 5 lines, the Base line, Conversion line, Leading span A and B, and Lagging span. The time period set for the Base line will be applied for the Leading span A and Lagging span. Leading span A takes the average of the Conversion line and the Base line and shifts it to the future by the time period used for the Base line. The Lagging span takes the closing price and shifts it to the past by the time period used for the Base line.The values for the Ichimoku Cloud are usually not changed.
"Colors" tab
Set the color, line type, and line thickness for Ichimoku Cloud.
"Visualization" tab
On the "Visualization" tab, you can show/hide Ichimoku Cloud in the Data Window and specify the timeframes to use Ichimoku Cloud with.
Step 3
Ichimoku Cloud will be displayed on the chart.
Trend signaled by Kumo
The gap between Leading span A and B is called the "Kumo (Cloud)" and it shows the support and resistance levels. The thicker the cloud, the more likely it is that the strong trend will continue. However, if the gap between Leading span A and B shrinks, it signals a trend shift. If the Base line and Conversion line are close together, keep your eyes open.
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