Ichimoku Cloud

Indicator guide

The Ichimoku Cloud Indicator in FX Replay is a powerful, all-in-one trend-following tool that helps you identify trend direction, support/resistance levels, and precise trade entries. It’s especially useful when replaying historical price action to simulate and refine multi-factor strategies.

Ichimoku Cloud Indicator – FX Replay Guide

The Ichimoku Cloud Indicator in FX Replay is a powerful, all-in-one trend-following tool that helps you identify trend direction, support/resistance levels, and precise trade entries. It’s especially useful when replaying historical price action to simulate and refine multi-factor strategies.

Key Components & What They Tell You:

  • Tenkan-sen (Conversion Line): Fast-moving trend signal.
  • Kijun-sen (Base Line): Strong trend reference point.
  • Senkou Span A & B: Form the Kumo (cloud), representing future support/resistance.
  • Chikou Span (Lagging Line): Validates price momentum vs. historical price. The space between Senkou Span A & B forms the Kumo, a visual "cloud" that shifts forward in time, allowing you to see potential support/resistance levels ahead of price.

How to Trade with Ichimoku in FX Replay:

1. Identify the Trend Direction:

  • Bullish: Price above cloud, Span A above Span B, Chikou above price.

  • Bearish: Price below cloud, Span A below Span B, Chikou below price. 2. Use Crossovers for Entries:

  • Bullish signal: Tenkan-sen crosses above Kijun-sen.

  • Bearish signal: Tenkan-sen crosses below Kijun-sen.

  • Stronger confirmation if these occur clearly above or below the Kumo. 3. Trade Kumo Breakouts:

  • Break above cloud: Potential bullish continuation.

  • Break below cloud: Possible bearish breakdown. 4. Confirm with Chikou Span:

  • Chikou above current price confirms bullish momentum.

  • Chikou below current price confirms bearish momentum.

Tips for Effective Use in FX Replay:

  • Run simulations in Replay Mode to practice reading cloud structure dynamically.
  • Combine Ichimoku with FVG zones, Order Blocks, or PO3 structure for confluence.
  • Ideal on Daily, 4H, and 1H timeframes for trend traders.