next »

[roy]

Can you explain why in the TS/KS bullish cross on page 151 of your book, if all the Ichimoku indicators are not above the cloud, they should be in a thick cloud? I would expect that they should be in a thin cloud so there would not be much resistance above inorder for a trend to start.

Thank you,

Roy

[sunman4008]

Hello,

The TS/KS cross over can occur in 3 places.  They are above the Kumo Cloud, within the Kumo Cloud, and below the Kumo Cloud.     I am assuming a bullish scenerio.   If you are above the kumo cloud there is no problem.   If the cross over takes place within the Kumo cloud that is not good.  Whenever any indicator is within the Kumo cloud, it indicates consolidation.   The key is how thick the cloud is at that time.    If it is thin then that is ok because the TS/KS can come out of the Kumo cloud very fast with a little bullish price movement.   If the cloud is thick than it will require a high bullish price movement to get out of the cloud which may not be feasible.

-Manesh