TraderAI
FeaturesPricingBlog
Sign InGet Started
  1. Home
  2. Indicator library
  3. Ichimoku
Trend

Ichimoku

Ichimoku Kinko Hyo is a set of five lines that describe trend, momentum and possible support and resistance in one view. The area between Senkou A and Senkou B is shaded as the cloud. Most lines are midpoints of the highest high and lowest low over a lookback, so they react to the range rather than to a single price.

Open on live chart All indicators

Adds Ichimoku to a free BTC/USDT chart.

Formula

Tenkan = (highest H + lowest L) / 2 over 9 bars
Kijun = (highest H + lowest L) / 2 over 26 bars
Senkou A = (Tenkan + Kijun) / 2, displayed 26 bars ahead
Senkou B = (highest H + lowest L) / 2 over 52 bars, displayed 26 bars ahead
Chikou = C, displayed 26 bars back

How TraderAI calculates it

TraderAI uses the classic 9, 26 and 52 lengths with a 26-bar display shift. Tenkan and Kijun are the 9-bar and 26-bar high-low midpoints. Senkou A is their average and Senkou B is the 52-bar midpoint; both are calculated on the current bar and displayed 26 bars ahead. Chikou is the close displayed 26 bars back. The shift only moves where a value is drawn; it never uses future prices.

Live example

How traders read it

  1. 1

    Price above the cloud is usually read as an uptrend, below the cloud as a downtrend, and inside the cloud as no clear trend.

  2. 2

    Tenkan crossing above or below Kijun is read as a shift in short-term momentum, and is given more weight when it agrees with the side of the cloud.

  3. 3

    Traders treat a thick cloud as a stronger support or resistance area than a thin one.

Limitations

  • With five lines and a shifted cloud it is easy to over-read the chart; Ichimoku works best as context, not as a single trigger.
  • The 9, 26 and 52 lengths come from a six-day trading week and are a convention, not an optimum for every market or timeframe.

Settings and defaults

SettingDefaultAllowed range
Conversion length91 to 500
Base length261 to 500
Span B length521 to 500
Display shift in bars260 to 500

What it plots

Drawn on the price chart, on the same scale as the candles.

LineUnitDrawn asFirst value
ConversionPriceLineafter 9 candles
BasePriceLineafter 26 candles
Leading span APriceLineafter 26 candles
Leading span BPriceLineafter 52 candles
ChikouPriceLineafter 1 candles

Questions

What is Ichimoku?

Ichimoku Kinko Hyo is a set of five lines that describe trend, momentum and possible support and resistance in one view. The area between Senkou A and Senkou B is shaded as the cloud. Most lines are midpoints of the highest high and lowest low over a lookback, so they react to the range rather than to a single price.

How does TraderAI calculate Ichimoku?

TraderAI uses the classic 9, 26 and 52 lengths with a 26-bar display shift. Tenkan and Kijun are the 9-bar and 26-bar high-low midpoints. Senkou A is their average and Senkou B is the 52-bar midpoint; both are calculated on the current bar and displayed 26 bars ahead. Chikou is the close displayed 26 bars back. The shift only moves where a value is drawn; it never uses future prices.

What are the default settings of Ichimoku?

The defaults are Conversion length: 9, Base length: 26, Span B length: 52, Display shift in bars: 26. You can change every setting on the live chart.

Can I use Ichimoku for free on TraderAI?

Yes. Every indicator in the library can be added to the free live chart. The free plan keeps up to 2 indicators active at the same time; Pro lets you combine more on one chart.

Educational content. Indicators describe past prices; they do not predict future prices and are not investment advice.

Category
Trend
Drawn as
Drawn on the price chart, on the same scale as the candles.
First value
after 52 candles
Formula version
traderai-i-v1
Open on live chart

Free plan: up to 2 indicators active at the same time. Pro lets you combine more indicators on one chart.

See plans

Related indicators

  • Directional Movement Index (DMI/ADX)
  • Aroon
  • Vortex Indicator (VI)
  • Chandelier Exit
  • Chande Kroll Stop
  • BBTrend
How TraderAI's AI reads a chart