Ichimoku Metatrader 4 Forex Indicator
The Ichimoku MT4 forex indicator is a very popular trend following indicator often used when trading the forex market for profits.
The indicator consists of the following components: Tenkan-sen, Kijun-sen and Senkou Span B.
Ichimoku can also be used to define areas of support and resistance.
In simple words, the trend is considered to be bullish above the Ichimoku cloud and considered to be bearish below the Ichimoku cloud.
It can be used for scalping, day trading, swing trading and position trading on all timeframe’s.
For instance, scalpers could apply this indicator to the 1 or 5-minute charts, day traders to the 5 or 15-minute charts and swing traders to the 30 or 1-hour charts.
The USD/JPY Daily chart below shows the Ichimoku forex indicator in action.
Basic Trading Signals
The most simplest form of trading the Ichimoku indicator goes as follows:
Buy Trade: Open buy trade when the price crosses and closes above the Ichimoku cloud from below.
Sell Trade: Open sell trade when the price crosses and closes below the Ichimoku cloud from above.
MT4 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 4
Type: chart pattern indicator
Customization options: Variable (Tenkan-sen, Kijun-sen, Senkou Span B) Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Type: Trend following
Copy and paste the Ichimoku.mq4 indicator into the MQL4 indicators folder of the Metatrader 4 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL4 > Indicators (paste here)