KumoTrade Ichimoku Strategy

2024년 5월 28일

The KumoTrade Ichimoku Strategy is an advanced trading strategy designed to help users identify market trends and potential trading opportunities using the Ichimoku Kinko Hyo technical analysis indicator. This strategy leverages the Ichimoku cloud (Kumo) along with other crucial indicators such as the Tenkan-sen and Kijun-sen lines to generate strong signals.

Main Components of the Strategy:
Tenkan-sen (Conversion Line): Indicates the short-term direction of the price, typically calculated as the average of the highest high and the lowest low over the past 9 periods.
Kijun-sen (Base Line): Indicates the medium-term direction of the price, usually calculated as the average of the highest high and the lowest low over the past 26 periods.
Senkou Span A and Senkou Span B: These two lines form the cloud (Kumo), which projects future support and resistance levels.
Chikou Span (Lagging Span): Plots the current closing price 26 periods back to measure the market's momentum.

Strategy Rules:
Bullish Bias (Bias Bull): Indicates that the prices are in a long-term uptrend. In this strategy, this is confirmed if the low prices are above the daily EMA (Exponential Moving Average).

Kijun Sen Touch Down: Occurs when prices cross below the Kijun-sen line and then close back above it, indicating a potential bullish reversal.

Tenkan-Kijun Cross Up: A bullish signal generated when the Tenkan-sen line crosses above the Kijun-sen line.

Close Over Tenkan and Kijun: A strong bullish signal when the close price crosses above both the Tenkan-sen and Kijun-sen lines.

Trading Setups:
Long Setup: Generated when the Kijun-sen is above the highest point of the Kumo (senkou_max) and the closing price is below the lowest point of the Kumo (senkou_min). This setup is checked over the last 21 bars.

Short Setup: Generated when the Kijun-sen is below the lowest point of the Kumo (senkou_min) and the closing price is above the highest point of the Kumo (senkou_max). This setup is also checked over the last 21 bars. (Not avalible yet)

Entry Conditions:
Ultra Long Entry: This condition checks for a bullish bias, the Tenkan-Kijun cross up or Kijun Sen touch down, high volume, and that the price is not within the Kumo cloud.

Main Long Entry: This condition requires the closing price to be above the Kumo cloud, a green Kumo cloud, a bullish bias, the Tenkan rule, and that the price is not within the Kumo cloud.

Exit Conditions:
A trailing stop loss is implemented to protect profits. The stop loss level is dynamically updated based on the highest high of the last 5 bars minus three times the ATR (Average True Range) value.

Visuals on the Chart:
The Tenkan-sen and Kijun-sen lines are plotted for visual reference.
The Kumo cloud is displayed with different colors indicating bullish (green) or bearish (red) conditions.

Entry points are marked on the chart, and the trailing stop loss levels are plotted as well.
The KumoTrade Ichimoku Strategy aims to provide a comprehensive approach to trading by combining multiple aspects of the Ichimoku indicator to generate reliable trading signals and manage risk effectively.

2024년 5월 28일

릴리즈 노트

tuned maximize for 1H charts
Major Logic Entry Changes
Tune to Minimize loosing trades

2024년 5월 30일

릴리즈 노트

remove trend filter

2024년 6월 8일

릴리즈 노트

spme change on logic long no shorts at the moment