Ichimoku Chikou Cross Expert Advisor: Leveraging Ichimoku Kinko Hyo for Optimal Trading.
 
Description: The Ichimoku Chikou Cross Expert Advisor (EA) is a sophisticated trading tool built on the principles of the standard Ichimoku Kinko Hyo indicator with default settings. This EA specifically uses the cross of the Chikou span with the price to generate trading signals, with confirmations from the relative positions of the current price and Kumo, as well as the latest Chikou span level and Kumo. This EA does not employ stop-loss or take-profit levels but exits all trades on reverse signals without requiring confirmation.
 
Characteristics of Ichimoku Chikou Cross EA
Platform: Metatrader4
Currency pairs: EUR/JPY, USD/JPY, GBP/JPY
Trading Time: Around the clock
Timeframe: D1, H4
 
The Ichimoku Kinko Hyo indicator consists of five main elements: 
Tenkan-sen ("turning line"):  A 9-period fast moving average based on the High-Low difference rather than traditional Close levels 
Kijun-sen ("standard line"): A 26-period slow moving average based on the High-Low difference rather than traditional Close levels 
Senkou Span A ("1st leading line"): Average of Tenkan-sen and Kijun-sen plotted with some shift in the future
Senkou Span B ("2nd leading line"): Average of maximum and minimum price for the given period plotted with the same shift in the future  
Chinkou Span ("lagging line"): Price Close level plotted with the same shift but in the past. 
 
Senkou Span A and B together form what is known as Kumo cloud.
The chart above shows the five elements in their complete set-up:​​
 
Apparently, there are different ways to trade with Ichimoku Kinko Hyo: One can trade the Tenkan/Kijun cross, like the MACD, or trade the Kumo cross, or trade the cross of price with any of Ichimoku's five lines.
 
Trading Strategy:
Signal Generation:
Bullish Signal: Generated when the current Chikou is above the respective Close level and the previous Chikou was below or at the same level as the respective price Close. The bearish signal is invalidated.
Bearish Signal: Generated when the current Chikou is below the respective Close level and the previous Chikou was above or at the same level as the respective price Close. The bullish signal is invalidated.
Invalid Signals: If the current Chikou is at the same level as the respective price Close, both signals are invalidated.
 
Confirmation:
Price Confirmation:
Bullish: Close is above both Senkou Span A and Senkou Span B.
Bearish: Close is below both Senkou Span A and Senkou Span B.
Chikou Span Confirmation:
Bullish: Chikou span is above both Senkou Span A and Senkou Span B.
Bearish: Chikou span is below both Senkou Span A and Senkou Span B.
 
Trade Execution:
Bullish Signal: Close any short position and check confirmations. If both bullish confirmations are present, open a long position and invalidate the bullish signal.
Bearish Signal: Close any long position and check confirmations. If both bearish confirmations are present, open a short position and invalidate the bearish signal.
 
Back-Tests of Ichimoku Chikou Cross EA:
Time Interval: 2016.11.09 - 2017.07.13
Currency Pairs Tested: GBP/JPY, USD/JPY, EUR/JPY
Performance: The EA showed great performance, particularly on the H4 timeframe.
 
 
Please note:
Purchasing this Ichimoku Chikou Cross EA grants you FULL ACCESS to the Code and Parameters.
 
RISK DISCLAIMER:
The application shown on this page does not consider your personal circumstances and trading objectives. Therefore, it should not be seen as a personal recommendation or investment advice. Past performance is not indicative of future results. There is no guarantee that the systems, trading techniques, methods, expert advisors (EAs), scripts and/or indicators will lead to profits or prevent losses.