Does Ichimoku Cloud indicator trading strategy even work? Are online trading guru’s telling you false information? I have wasted years testing every trading strategy out there, before i found the right one, that worked! I’ve created this channel to expose every strategy, and show their real probabilities, so you don’t have to waste your precious time like i did! I’m not here to sell any kind of online course, I’m just here to help you in your Stock trading and Forex trading career.

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In this video i will back-test 100 times, a very famous trading strategy called the Ichimoku Cloud strategy.

Yes you heard it right. testing 100 times takes time, and will most likely prove, if you should risk your hard earned money, using this strategy! This video will be very similar to the RSI and MACD video i made a while ago. If you want to know if those strategy work after testing 100 times? Check those videos out.

If you are new to trading, don’t get scared away after looking at this indicator. On trading view, The Ichimoku Cloud indicator will look something like this. I know, a big mess.

I have already made a video on the basics. If you have never heard about this indicator, check out my previous video where i explain this indicator in detail. If you remember, in my last Ichimoku Cloud video, I said, this green lagging span was optional, and most traders don’t use it. In this video, I have not used it to backtest, because it make things more confusing.
The Ichimoku Cloud indicator will come with 5 lines. A blue line, called the conversion line. A red line, called the Base line. A green line, called the lagging span. And two other lines that form the Cloud.

Also, The Ichimoku Cloud trading strategy is really simple, but in the last video, we have modified it, to filter false signals.
Here’s how the modified strategy goes.
If the Price is above the cloud, and also above the 200 period moving average, and the blue line is crossing above the red line, we will buy as soon as the crossover happens. In the long setup, set your stop loss, just below the base line. Similarly, If the price is below the cloud, and also below the 200 period moving average, and we see the Blue line crossing below the red line, we will sell as soon as the crossover happens. In the short setup, set your stop loss just above the base line.

Here’ are few more important changes I found, that will improve the win rate of this Strategy, and will make it less confusing.

First of all, I have made the Cloud opaque, so we won’t be able to see, the candles, that form inside the cloud. Our strategy says, not to take trades when price is inside the cloud.

Secondly, I have removed the lagging span, and have used the 200 period moving average.

The cloud on the Ichimoku indicator, is there to show the trend direction. But we will use the 200 period moving average, to filter false signals, and to find the direction of the long term trend.

So, the question is. If you enter trades using Ichimoku Cloud indicator, will you become a profitable trader?

In the next few minutes, i will show you how the profit graph looks like after taking 100 trades, and how much is the real winning percentage of the Ichimoku Cloud strategy, and how many losers you can expect in a row. I will fast forward the next clip to save your time. The following clip can help you understand, how this strategy looks in different market conditions, so do watch carefully.

If you want to know about the Best MACD Trading strategy, that i back tested 100 times, to see if that strategy is profitable or just fake, check out the first video on this channel.
And check out other strategies that i tested 100 times, like the CCI, and Bollinger Bands.

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