Ichimoku Charting and Analysis
FIgure 16.15 Price Violating the Thinner Clouds on the Daily Corn Chart.
Courtesy of Stockcharts.comFIgure 16.16 Violating the Thinner Clouds on the Daily Spot Gold Chart.
Courtesy of Stockcharts.comrepresents a potentially weaker barrier to price and is therefore relatively less bull-
ish if price is above it. See Figure 16.15.
Figure 16.16 is another example of price having a tendency to violate the thin-
ner areas of the cloud.
In Figure 16.17, we see Light Crude Oil finding resistance at the cloud at
Points 1 and 2, and subsequently finding support at Points 3 and 4. Notice that
the cloud is particularly thick at Points 1, 3, and 4, acting as a stronger barrier
to price.
It is important to realize that although price can never find support or
resistance at the Chikou Span, the Chikou Span itself can find support or re-
sistance retroactively at the Ichimoku cloud, price, and at both the Tenkan‐sen
and Kijun‐sen. We have already saw an example of this at Points 1 and 2 in
Figure 16.13.