Ichimoku is an investment strategy of trend following, it works great on H4, D1 and higher time frames. In this series of articles I present my setups and observations using Ichimoku, supports and resistances and Price Action patterns. You can also check previous Ichimoku overview.
Price after last bullish correction moved to the area of bearish Kumo cloud and Kijun line. If there will be any sell signal in this place, we can open short position.
On the H4 chart we can see, that price is getting close to bearish Kumo. If the current candle will have a form of bearish pin bar, we can open short position with the target on another support from the daily chart. Of course we have to consider Chikou Span position, if it will above the price, we cannot enter shorts. To open this position I recommend STO broker, which offers exceptionally low spreads on cross pairs.
No signal to open position on this chart, I just wanted to show, how nice Kumo cloud worked as a resistance. It’s a shame that there were no clear signals to open position in this place, so far we would have few dozen pips of profit. Maybe there will be another retest of cloud, we will have a possibility to open short then.