Ichimoku Trend Screening with Cloud and Chikou Confirmation

Summary

This document presents an Ichimoku-based way to screen for bullish and bearish trends and display them on a chart or histogram. The bullish screen requires price to be above both cloud spans, above the prior period's high, and above lagged cloud, Tenkan, and Kijun levels. The bearish screen mirrors those conditions below the cloud and prior low. A background indicator colors the chart when the full set of trend conditions is met.

The histogram separates cloud position from Chikou-style confirmation, then marks a combined directional signal when both agree. This offers a visual checklist for trend alignment rather than a tested trading system. The document supplies indicator rules but no asset, timeframe, backtest, transaction costs, or outcome evidence; signals may therefore need independent validation before use.

Key ideas

• The bullish screen combines price above the cloud with confirmation against lagged Ichimoku levels and the prior high.
• The bearish screen applies corresponding below-cloud and prior-low conditions.
• Separate chart and histogram displays show trend status and agreement between cloud and Chikou-style checks.
• The document provides no performance testing or guidance on asset selection and timeframe.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.