Ichimoku cloud
Five lines and a cloud projected ahead: trend, momentum and support in one view.
Formula
Conversion = midpoint of the last 9 bars' high–low range Base = midpoint of the last 26 bars' range Lead A = (Conversion + Base) ÷ 2, drawn ahead Lead B = midpoint of the last 52 bars' range, drawn ahead Lagging = the close, drawn behind
How to read it
Price above the cloud is an uptrend, below it a downtrend, inside it no trend. A thick cloud is stronger support or resistance than a thin one.
How to use it
One chart for trend, support and resistance, and momentum.
Limitations
Built for daily bars; the lagging span is a past close drawn at an earlier bar, never a forecast.
In Kereon
Charts · Superchart. Defaults 9, 26, 52 and a displacement of 26, drawn 25 bars ahead and behind (TradingView's offset).
Also called: cloud, kumo, tenkan, kijun, senkou, chikou, ichimoku kinko hyo.