Enhanced Ichimoku Trend Detection System
Purpose & Originality
This indicator enhances the traditional Ichimoku Cloud system by integrating multiple technical analysis components to provide a more comprehensive trend detection approach. The originality lies in:
1. Combining Ichimoku signals with modern momentum indicators (RSI)
2. Adding candlestick pattern recognition for trend confirmation
3. Implementing volatility-adjusted calculations for more accurate signals
4. Using volume-weighted analysis for price movement validation
Technical Methodology
The script uses a multi-layered approach to trend detection:
1. Ichimoku Foundation
- Calculates traditional components (Conversion Line, Base Line, Leading/Lagging Spans)
- Uses cloud formation for primary trend direction
- Implements dynamic displacement for improved signal timing
2. Pattern Recognition Layer
- Analyzes candlestick formations including:
* Bullish/Bearish Engulfing patterns
* Hammer and Shooting Star formations
* Doji patterns for indecision points
- Measures relative strength of patterns using body-to-wick ratios
3. Momentum Confirmation
- Integrates RSI readings with moving average crossovers
- Provides strength measurement through volume-weighted calculations
- Adjusts signals based on market volatility
Signal Generation Logic
The system generates signals based on a weighted combination of:
- Ichimoku cloud position and crossovers
- Candlestick pattern strength
- RSI momentum confirmation
- Volume-weighted price movement
- Volatility-adjusted thresholds
Usage Instructions
1. Set your preferred Ichimoku parameters (default: 9,26,52)
2. Adjust the RSI and MA periods based on your timeframe
3. Configure volume and volatility settings for your market
4. Monitor the following signals:
- Green triangles: Strong bullish trend
- Red triangles: Strong bearish trend
- Gray circles: Market indecision/consolidation
[Instructions en français]
1. Définissez vos paramètres Ichimoku préférés (par défaut : 9,26,52)
2. Ajustez les périodes RSI et MA selon votre horizon de trading
3. Configurez les paramètres de volume et de volatilité pour votre marché
4. Surveillez les signaux suivants :
- Triangles verts : Tendance fortement haussière
- Triangles rouges : Tendance fortement baissière
- Cercles gris : Indécision/consolidation du marché
Disclaimer
This indicator is for informational purposes only. Always conduct your own analysis before making trading decisions.