“This is a MUST -READ -READ for any trader looking to make better, faster trading decisions. decisions.”” – Rob Booker Boo ker,, Trader Radio
How to Apply Ichimoku Ichimoku Kynko Hyo to Develop Winning Trading Strategies Based on Your Your Risk Tolerance
KIANA DANIAL CEO OF INVEST DIVA
secrets
How to Apply Ichimoku Ichimoku Kynko Hyo to Develop Winning Trading Strategies Based on Your Risk Tolerance
CEO OF INVEST DIVA
ICHIMOKU SECRETS
How to Apply Ichimoku Kynko Hyo to Develop Winning Strategies The Japanese Way to Trading Success Copyright © 2016 by Invest Diva, KPHR Capital, LLC. All righ rights ts rese reserv rved ed.. Exce Except pt as perm permit itte ted d unde underr the the Unit United ed States Copyright Act of 1976, no part of this publication may be reproduced or distributed in any form or by any mean means, s, or stor stored ed in a data databa base se or retr retrie ieva vall syst system em,, without the prior written permission of the publisher. There is no guarantee that you will earn any money using the techniques and ideas in materials, or the advice found in this book. The information contained in this book is strictly for educational and informational purposes. Nothing contained in this book constitutes financial, legal, tax or other professional services advice. While best efforts have been used in preparing this book, the author and publisher make no representation or warranties of any kind and assume no liabilities of any kind with respect to the accuracy or completeness of the the cont conten ents ts and and spec specif ific ical ally ly disc discla laim im any any impl implie ied d warr warran anti ties es of merchantability or fitness of use for a particular purpose. Neither the author nor the publisher shall be held liable or responsible to any person or entity with with respe respect ct to loss loss or incid inciden ental tal or cons conseq eque uenti ntial al dama damages ges cause caused, d, or alleged to have been caused, directly or indirectly, by the information or programs contained herein. No warranty may be created or extended by sales sales represe representa ntative tives s or written written sales sales materials materials.. Every Every financia financiall services services company, investment advisor, or broker-dealer is different and the advice and strategies contained herein may not be suitable for your situation. All trademarks trademarks used in this book remain property of their respective holders, and are used only to directly describe the products being provided.
Proofread by:
Ken Darrow, M.A. Charts Charts prepared prepared on :
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What People Are Saying “This is a must-read for any trader looking to make better, faster trading decisions. Kiana has written the definitive guide to profiting from the Ichimoku Kynko Hyo - in a clear, step-by-step format that is perfect for beginners or even advanced traders. She not only shares some incredibly effe effect ctiv ive e trad trading ing strat strateg egies ies - but but she also also expla explains ins the the simple market psychology for why the strategies work.” – Rob Booker, Host, Trader Radio “This This isn’ isn’tt just just a book book,, it's t's a reci recipe pe and and blue bluepr prin intt for chang anging ing your trading ing fortune. It breaks down down the Ichimoku strategy for all, from short term traders to long term term inves investo tors rs,, and and combin combines es it with with your your spec specif ific ic risk risk tole tolera ranc nce e and and fina financ ncia iall goal goals. s. This This is some someth thin ing g most most trading courses fail to do, and it's the reason why most traders lose money. Kiana’s approach will not only teach you how to trade with confidence, it will also teach how to significantly improve your odds of a successful trade. A must read for all serious traders.” – Maia Loloi, Property Manager “Kiana iana doe does an excel cellent ent job of breakin aking g dow down the Ichimo imoku indi ndicator in a simple, le, easy to unde underrstand and format format.. She dives dives deep into into the history history of Ichimok Ichimoku u and how to apply apply it to your your trading. trading. Regardless Regardless of whether whether you are a new trader, experienced trader, or somewhere inbetw between een this this is a must must read. read. It is the the closes closestt thing thing to a “holy grail” I have seen when it comes to the Ichimoku indicator.” – Trent Hoerr, Head of Sales Forest Park FX
“If you're a technical trader, the Ichimoku strategy is a proven method having success in the markets. And An d if you want to understand how Ichimoku works, this book is all you need. Kiana breaks Ichimoku down in a way that's easy to understand, from entry and exit points, to using it for different types of charts. Overall a great read that takes a concept that can be complicated and makes it easy to digest.” ̶ Spencer Israel, Editor, Producer at Benzinga “I don’t make a single investing move without Kiana’s guidance! It is amazing how I only make money when Kian Kiana a has has appr approv oved ed the the stra strate tegy gy duri during ng our our priv privat ate e lessons.” – Melissa Ward, Single Mom "Financial markets are not easy to understand, and often you can make mistakes and lose money. It’s extremely difficult to find an expert to trust and follow for trading strategies. Kiana is one of those rare experts who not only is a great trader, but also has the ability to explain compli complica cated ted tech techniq niques ues in simp simple le term terms. s. In this this book book Kiana has distilled the Ichimoku technique so anyone can learn it and implement it in their trading strategy based on their risk tolerance. A bonus on top of all this is that Kiana is also a hilarious entertainer. After you are done with this book, you should check out her videos explaining trading concepts, learn from it and also have a laugh or two. Kiana, congratulations for all your success in teaching people how to make money by trading.” – Carmelo Imerti, Technical Analyst
"Kiana is excellent at explaining explaining interesting and complex market phenomena in clear, useful, and approachable ways for traders and investors." – Chris Meyer Meyer,, Clinic al Assistant Assi stant Professor, Fordham Universit y, Ford Ford ham Foun Foun dry
"We all all have have peop people le we idol idoliz ize. e. For For me it's it's Kian Kiana a Danial. Her story is amazing and very empowering to women all over the world!" – Ina Kocib Koc ibelli elli , FX FX Trader Trader “A MUST MUST READ READ for for all all trad trader ers s inte intere rest sted ed in maki making ng money like a pro! I first met Kiana after I attended one of her live webinars and have continued to be impressed by her teac eaching ing theme emes and and exp explanat anatio ion ns. I have referred many clients to her and they’re and they’re all all very pleased and impressed on how much they learned in a short period of time. With a firm but friendly demeanor, Kiana manages to keep execute excellency not only in her education courses, but also in her books.” books. ” – Michael Vega, Vega, Busin Bus iness ess Develop Develop ment at DriveW riveWealth LLC
“Invest “Invest Diva Diva brea breaks ks down down a soph sophis isti tica cate ted d Ichi Ichimo moku ku trading strategies that can help the traders at any level unde unders rsta tand nd and and appl apply y to thei theirr own own port portfo foli lio. o. High Highly ly recommended to all technical chartists!” technical chartists!” – Fan Yang Yang,, CEO CEO at FXTim FXTim es.com es.co m
“Kiana has has done done a trem tremen endo dous us job of sim simplif plifyi ying ng a powe powerf rful ul yet yet comm common only ly misun isunde ders rsto tood od indi indic cator ator.. Intermediate to experienced traders will find this book of great value if they are looking to adjust their medium to long term strategies to fit specific risk tolerances.” tolerances. ” – Ilan Ilan Azbel, Azbel, CEO CEO at AutoChartist AutoChartist “Kiana Danial has a real knack for breaking down a comp comple lex x subj subjec ectt into into unde unders rsta tand ndab able le and and prac practi tica call build ilding ing bloc locks so that once an inve nvestor fini inishes hes read readin ing g ICHI CHIMOKU MOKU secr secret ets, s, they they will will have have a clea clear r Ichim Ichimok oku u trad trading ing model model to follo follow w. Kiana’s successful trading career gives the book substance and is a must read for any serious investor.” investor. ” – Jody Samuels, CEO, FX Trader’s EDGE “Kiana’s market “Kiana’s market analysis is always based on empirical, unbiased study and she adheres to the golden rule of trading: “follow trading: “follow the data” the data” . If you want to increase your level of success in trading, follow Kiana!” follow Kiana!” – Jay Norri s, Foun Foun der, Trading radin g Universi ty
To my awesome husband, who not only gives me unwavering support, but who also puts up with my workaholism. I love you with all my heart. Thank you for being so amazing. To my late father-in-law who gave me the idea for the name of this book right before he passed away. We love you and we miss you.
To my wonderful mom and dad who always believe in i n me.
Contents Introduction
Chapter 1 – 1 – What What Is Ichimoku? • Fundamentals of Ichimoku • Terminology • General Interpretation Calculatio ns, 9, 26 52 Format • Calculations, You Change the Format? • Should You Chapter 2 – 2 – Using Using Ichimoku as an Entry Signal • The Trigger • The Confirmation • Bullish Market Confirmation: High, Medium, Low Risk • Bearish Market Confirmation: High, Medium, Low Risk Chapter 3 – 3 – Using Using Ichimoku as an Exit Signal Cloud to to Exit Exit Bearish Positions • Using the Cloud Cloud to to Exit Exit Bullish Positions • Using the Cloud • Using Ichimoku as a Stop-Loss Chapter 4 – 4 – Using Using Ichimoku on Different Time Frames • The Big Secret • Ichimoku on Monthly Chart • Ichimoku on Daily Chart • Ichimoku on 4-Hour Chart • Ichimoku on 1-Hour Chart Chapter 5 – 5 –Ichimoku Ichimoku – – Fibonacci Fibonacci Combo Fibonacc i after a • Combining Ichimoku with Fibonacci Downtrend and an Uptrend • Risk Management
Chapter 6 – Case – Case Studies About the Author
From Ichimoku to Trading Trading Success
Ichimo Ichimoku ku Kinko Kinko Hyo Hyo ( 一 目 均 衡 表 ) is one one of my fav favorit orite e indicators in technical analysis. I initially learned about it firsthand from the Japanese. Over my years of technical analysis and trading, and teaching courses at Invest Diva, in Japan and in universities in New York, this one indicator has proven to be one of the best predictors of future movements, especially as a key part of medium to long-term investment strategies. After enrolling in the NYU School of Professional Studies to beco become me a Cer Certifi tified ed Fina Financ ncia iall Plan Planne nerr, I star starte ted d thin thinki king ng of method methods s to combin combine e Ichimo Ichimoku ku interp interpret retati ations ons with with Fibona Fibonacci cci retrac retraceme ement nt levels levels to creat create e strat strategi egies es based based on traders’ risk tolerance and financial goals. What you will learn in this book are real examples of Ichimoku based strategies that have and have been successful in the past. You must know that some Wall Street insiders and professional traders are irritated by that fact that I’ve put the Ichimoku Secrets out out in the the world orld.. Ther There e are are many many com compone ponent nts s to Ichi Ichim moku; oku; however, however, only the combination of a few components has been my main main secre secrett to tradin trading g succes success s… Up until now only premium Invest Diva students have had access to this. I am going to reveal it to you in this book.
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I will cover the best time frames to use Ichimoku, as well as best pract ractic ice es and comb combin ina atio tions with ith Fibo ibonacc naccii retracement levels to develop a strategy that best suits your risk tolerance and financial goals. So, So, witho ithout ut furt furthe herr ado, ado, let’s ge get into into what hat the the heck Ichimoku is, and how you can apply it to your trading strategy.
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WHAT IS ICHIMOKU?
Understanding Ichimoku Kynk Kynko o Hyo Hyo
Ichimoku is short for for Ichimoku Kinko Hyo, Hyo, which can be translated as “a glance at a chart in balance”. A Japanese journalist called Goichi Hosoda invented this charting charting technique in 1936, and since then Ichimoku charts charts have become a popular trading tool in Japan. Of course, love at first sight can be complicated. But once you get to know it, magic can happen. Before we reveal the chart, let’s preven eventt a major jor brain ain meltd ltdown own by firs irst introducing the stuff you are going to see on your chart when you insert Ichimoku onto it.
Figure 1.1
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Japanese Japane se to Englis h
雲 Kumo or Cloud 基準 Kijun or Base line 転換 Tenkan enka n or Turn line 遅行 Chiko or Delay
Now we are going to add all these lines and moving averages to our trading chart. Don’t panic; your eyes are going to get used to this,
and after one day you will feel that a chart without Ichimoku is totally naked.
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Your eyes are going to get used to this, and after one day you will feel that a chart without Ichimoku is totally naked.
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First let’s do basic introduction, and then jump into the interpretation of Ichimoku and all the secrets you need to know.
Figure 1.2
K ijij un un l i ne ne (b as e l i n e i n s o l i d , t h i c k p i n k c o l o r ). This is
the average of the highest high and the lowest low within the past 26 candles. We can also call it the “slow line” because it reflects a whole 26 periods. Tenkan nkan line line (t u r n l i n e, s o l i d , t h i n b l ac k c o l o r ). This is
the average of the highest high and the lowest low within the past past 9 candle candles. s. We can can also call call this this the “fast line” because it reflects less periods. Chiko hiko (some someti time mes s spe spelle lled chik chikou ou)) spa span (delay delaye ed line, line, t h ic ic k, k, d as as h ed ed b lu lu e c ol ol or or ). This shows the most recent candle’s price, but it is drawn 26 periods behind.
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Kumo Kumo (clou cloud) d).. This is the area between two lines that
plots the future! The first thin, dotted line is calculated by averaging the tenkan line and the Kijun line plotted 26 period iods ahead. The second one is determined by averaging the highest high and the lowest low for the past 52 periods plotted 26 periods ahead. These two lines are called Senkou spans. Senkou means “future”. One good thing about modern trading, including those of Forex, stocks, equities and even ETF platforms, is that you can choose different colors for each of the Ichimoku lines to make make your your Ichi Ichimo moku ku indi indica cato torr more more colo colorf rful ul and and to identify the lines easily.
As seen in Figure 1.1, I usually like to use pink for the Kijun line, black for the Tenkan line, blue for the Chiko (Lagging) line, and light green for the Kumo (cloud).
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Usi sing ng Ichimoku Ichim oku as Trading Signal Here is a che cheat shee sheett on how how Ich Ichimok imoku u is genera erally lly interpreted for trading signals. B u y Si g n al
Sel l Si g n al
The The candle candles s are are above above the cloud cloud
The The candle candles s are below below the cloud cloud
Chiko span crosses above the cloud
Chiko span crosses below the cloud
Tenkan line crosses crosse s above the th e Kijun line
Tenkan line crosses crosse s below the Kijun line
More Common Interpretations • As lo long ng as th the e fi five ve liline nes s ar are e pa para rallllel el,, th the e tr tren end d wililll
continue in that direction.
•
When the the candles candles are are inside inside the Ichimo Ichimoku ku cloud, cloud, that means that the market is in the process of consolidating, and it is not a good time to buy or sell.
•
The lower lower band of the prevailing cloud can be used as a layer of support.(See figure 1.3)
•
The upper upper band band of the prevailing prevailing cloud can be used as a layer of resistance. 17
Figure 1.3
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“
You can use Ichimoku cloud as layers of support or resistance.
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The 9, 26, 26, 52 For Format mat
Most trading platforms generate Ichimoku kinko Hyo on a 9, 26, 52 format calculated as below. Four of the five plots within the Ichimoku Kinko Hyo are based on the average of the high and low over a given period of time. For example, the Tenkan line is simply an average of the 9-day high and 9-day low. Before comp comput uter ers s were were wide widely ly avai availa lable ble,, it woul would d have have been been easier to calculate this high-low average rather than a 9day moving average. Here is how you can do the calcul calculati ation, on, althou although gh you really really don’t have have to, becaus because e your trading platform will magically do it for you.
Ten ka kan -l -l in in e (A KA KA Ten ka kan -s -s en en , Co nv nv er si si on on L in in e) e): (9perio period d high high + 9-perio period d low) low)/2))
The default setting is 9 periods and can be adjusted. On a daily chart, this line is the mid-point of the 9-day high-low range, which is almost two weeks. Kiju Kijunn-li line ne (AKA AKA Kiju Kijunn-se sen, n, Base Base Line Li ne)): (26-peri period od high high + 26-period period low)/ low)/2))
The default setting is 26 periods but can be adjusted. On a daily chart, this line is the mid-point of the 26-day high-low range, which is almost one month). 19
Sen ko ko u Sp an an A (L ea ead in in g Sp an an A ): ): (Ten ka kan L in in e + K ijij un un Line)/2))
This is the midpoint midpoint between between the Conversion Conversion Line and the Base Line. The Leading Span A forms one of the two Cloud boundaries. It is referred to as "Leading" because it is plotted 26 periods in the future and forms the faster Cloud boundary, which helps traders with predicting future market movements. Sen k o u Sp an B (L ead i n g Sp an B ): (52-p er i o d h i g h + 52-pe 52-period riod low)/2) low)/2)))
On the daily chart, this line is the mid-point of the 52-day high-low range, which is a little less than 3 months. The defa defau ult calc calcu ulati latio on set setting ting is 52 perio eriods ds,, but can can be adjusted. This value is plotted 26 periods in the future and forms the slower Cloud boundary. Ch i k o u Sp an (L ag g i n g Sp an , Del ay ed Sp an ): Cl o s e p lo lo t t ed 26 d ay ay s i n t h e p as as t
The default setting is 26 periods, but can be adjusted.
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Should you change the 9, 26, 52 format?
While some technical analysts recommend changing the format based on the time frame, in my experience it is best to stick with the norm. Why? Because of the reason why an indicator works in the first place. Why do you think indicators work? What do you think they are an indication of? Indicators or any other type of technical analysis work markett sentime sentiment nt and crowd crowd psychol psychology ogy.. because of marke Strategists and market technicians like me research and evaluate hundreds of thousands of charts over the years and and obse observ rve e the the habi habits ts of the the mark market et duri during ng spec specif ific ic periods of time. The main idea of any technical analysis tool is that “history repeats itself”. So while you can go ahead and create a new type of Ichimoku indicator with a new format over different time frames, analyze the market psychology and the accuracy of your your indi indica cato torr in that that time time fram frame, e, why rein reinve vent nt the the wheel? 21
To truly grasp the importance of this, you’ve got to learn someth something ing that that entrep entrepren reneur eurs s such such as Russe Russellll Brunso Brunson n actually learned from Tony Robbins, which is “If you you want to achieve success, all you need to do is find a way to model those who have already succeeded. ” After reading this story, story, I thought back to some of the things I’ve been successful with in my life. For instance, when I was young, I wanted to be the best piano player in the country, but the problem was that I wasn’t really that good. So, I went out there and found other pianists that were amazing. I used to watch video tapes of them, and I would model after what they did. I modeled after their moves and their training. In a very short period of time, I was able to go from being a bad pianist to being an award winning pianist, to winning in competitions in Japan.
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So I started talking to my friend who was a pro-trader, pro-trader, and started to figure out how to make money by trading. A year later, I moved to New York to work on Wall Street and model modeled ed afte afterr best best stra strate tegi gist sts s and, and, in the the meant meantim ime, e, I developed my own strategies that I am going to share with you. There’s always someone who comes up to me and says, “You know, that’s cool, but I have figured out a better way to do it.” Or, they migh mightt say, ay, “I cam came up wit with a new new strategy strategy that no one has ever thought thought of before.” before.” They are so excited, but I always take a step back and tell them the same thing: “You can always tell who the pioneers are because they have arrows in their back and are lying face down in the dirt.” This is true if you think about it. As investors, we have so much passion and a nd drive to share our strat strateg egies ies with with the the world world.. It’s It’s a beaut beautifu ifull thing thing,, but but most investors run out of one of two things before they find succe success ss.. They They eithe eitherr run out of time time or they they run out of money. The reason why why this happens happens is because because they are trying trying to be creative creative and figur figure e all of this stuff stuff out. out. They get all of these arrows in their back, and they never reach a point where they can actually serve people and help them. That’s That’s the problem. problem. I have realized that I need to go and find out exactly what’s working today and start there. there. With that, that, since I have done extensive research on the 9, 26, 52 format of Ichimoku Kinko Hyo so you don’t have to, let’s get into the secrets so you don’t waste more time reinventing what has already been invented. 23
USING ICHIMOKU AS AN ENTRY SIGNAL
Intro ntroduci ducing ng the Best Best Moments Moments to Use Ichim chimoku oku
The general Ichimoku interpretation suggests that as long as the market price is above the Ichimoku cloud, it is a bullish signal. As long as it is below the cloud, it is a bearish signal. While this could play out from time to time, the best time to use the Ichimoku cloud is the moment that the market confirms a break. If you don’t catch the moment of the breakout, you are already too late to use Ichimoku as your indicator and should move on to other methods.
“
“
The best time to use the Ichimoku cloud is the moment that the market confirms a break.
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Initial Trigger in a Trending Market In a trending market, the first trigger could be spotted by the Kijun and Tenkan line cross-overs. This works much like normal moving average combinations where a shortterm term movin oving g ave average rage cro crosses sses a lon long-te g-term rm mov moving ing average. In traditional usage of moving averages (MAs), as I have Guide to Ma Makin king g expl explai aine ned d in my book book “Invest Diva’s Guide Money in Forex”, Forex”, the cross overs are first responders to a market reversal. One popular way of using traditional moving averages is based sed on Jose Joseph ph Granville’s tech techni niqu que e of tech techni nica call analysis—using the 200-day moving average versus the 30-day moving average to identify buy or sell signals. Go l d en c r o s s : When When a shor shortt-te term rm movi moving ng aver averag age e crosses above a long-term moving average, it means that
the speed of the upward movement in a short period has beco become me fast faster er than than the the long long-t -ter erm m spee speed. d. So this this is a buy signal. c r o s s : Whe When a short-term moving ing average breaks below the long-term moving average, it indicates Dead
that the speed of the downward movement in a short period has increased. So this is a sell signal. 26
The dead dead cro cross is so call called ed beca becaus use e it orig rigina inates tes in security trading, where when the prices go down, you are screwed and you lose money. Fortunately, in Forex trading you won’t have this problem because you can make money in both directions. Shortsellers of the stock market don’t normall normally y consid consider er this this bearish trigger so “deadly” either.
Beware of False False Signals !
If you have have paid paid atte ttention ion to any any of the the Inve nvest Diva iva education services, you probably have already gotten used to the idea that trading signals and indicators are often full of $#?*. The market participants often acts in an arbitrary fashion, ignoring all the laws and rules. That is why we should never rely on only one method of analysis and should always confirm our decisions with other tools and points of the Invest Diva Diamond Analysis (IDDA).
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Initial Bullish Trigger after a Downtrend Downtrend The Tenkan line (fast moving average) crosses ABOVE AB OVE the Kijun line (slow moving average); this is the initial indicator that the market could reverse into an uptrend.
Figure 2.1 Golden G olden Cross: Initial Bullish Bul lish Trigger Trigger after a Downtrend 28
Initial Bearish Trigger after an uptrend The Tenkan line (fast moving average) crosses BELOW the Kijun line (slow moving average).
Figure 2.2 Dead De ad Cross: Initial Bearish Be arish Trigger Trigger after an uptrend 29
Approaches for Investors with High, High, Medium and Low Risk Tolerance
It is not enough to catch the trigger on the Ichimoku cloud. You need to stay put for the confirmation, and then use it depending on your risk tolerance. So what the heck is a confirmation of a break out? There are three methods to identify a confirmation of a break out. The first one is for investors with high risk tolerance, the second one is for investors with medium risk tolerance, and the third is for investors with low risk tolerance.
You can calculate your risk tolerance by attending our wealth management course, or by booking a private financial therapy session with one of our coaches at Invest Diva. In this this sect sectio ion, n, I’ll bre break ak down down the the defi defin nitio ition n of a confirmation both in a bullish and in a bearish market.
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Bullish Market Confirmation
SECRET #1: Higher Risk Confirmation
based on a candlestick Your first bullish indication is released once a strong bullis bullish h candle candle tests abov above e the the Ichi Ichimo moku ku clou cloud. d. However, this is no confirmation, just an indication that you might want to keep an eye on this pair.
Figure 2.3 Bullish Test above Ichimoku Cloud
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After the market tests above the upper band of the Ichimoku cloud, you still need to wait for the next period candlestick to open above the Ichimoku cloud. That is a signal to enter a bullish position for investors with higher risk tolerance.
Figure 2.4 Bullish Candle Confirmation above Ichimoku Cloud
In the above example, we not only had a confirmation above the cloud, but also a confirmation above the pivot level of 103.5, which we had previously identified based on technical analysis.
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At this point, an investor with high risk tolerance has the thum thumbs bs up from from the the tech techni nica call point point of the the Invest Invest Di Diva va Diamond Analysis*, Analysis*, and can move on to the fundamental and sentimental points to back up his/ her trading strategy.
* Invest Diva Diamond Analysis is the strategy develo dev elopme pment nt met method hod de descr scribe ibed d in Kia Kiana na Danial’s book “Invest Invest Diva’s Diva’s Guide Guide to Making Money in Forex” Forex” as well as Invest Diva’s award-w award-winn inning ing edu educat cation ion cou course rse,, “Forex Coffee Break with Invest Diva. Diva .” 33
SECRET #2: Medium Risk Confirmation
based on candlestick pullback For investors who have medium risk tolerance, we recommend waiting until after the first confirmation candlestick is completed. Normally, at this stage, we see a temporary pullback based on crowd psychology, which gives you a great entry point; you already have the confirmation of the Ichimoku cloud, but choose to wait for the optimal time to buy at a lower price.
Figure 2.5 Pullback Pull back after Confirmation above Ichimoku Cloud 34
The reason we recommend this approach to investors with medium risk tolerance is because sometimes, the pullback doesn’t occ occur and it could be a missed opportunity for high risk investors. This is not recommended to investors with lower risk tolerance because, after the pullback, sometimes the mark market et dive dives s back back insi inside de the the Ichi Ichimo moku ku clou cloud d and and chan change ges s dire direct ctio ion n temp tempor orar arilily; y; some someth thin ing g low low risk risk investors cannot afford in their portfolio.
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Investors with medium risk tolerance can enter a bullish position once the market has temporarily pulled back AFTER a confirmation above the Ichimoku cloud. cloud.
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SECRET #3: Lo Lower wer Risk Confir Confirmat mation ion
based on Chiko span The ultimate confirmation for long-term traders with lower risk tolerance is triggered once the Chiko span (lagging line) also breaks above the Ichimoku cloud. Once nce this this happe appen ns, we norm normal ally ly exp expect ect a tren trend d chan change ge and and a new new cy cycl cle e on the the dail daily y char chart. t. This This oftentimes coincides with a break above the cloud on the monthly chart as well, in which case our scenario is even stronger.
Figure 2.6 Bullish Confirmation after Chiko Span Breaks above Ichimoku Cloud 36
Note that the Chiko span, or lagging line, is shown as a dashed, dashed, blue line line in Figure 2.6. Also noteworthy is that after the market first confirmed above the Ichimoku cloud, it is followed by a pullback towards the flattening Ichimoku cloud. Unable to break below the cloud, it powers through and breaks above the cloud once again; this time, dragging the Chiko span with it. With this, you understand why we recommend the first irst two two sce scenari narios os to inve invest sto ors with ith high igher risk risk tolerance: The markets are never 100% predictable. Even though our methods will eventually pan out, an investor with lower risk appetite will not be able to afford the market pullback in case it happens. For sure, sometimes the pullback doesn’t happen and that would be a missed opportunity for an investor with lower risk tolerance … But, hey, better lose an opportunity than lose money, eh?
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Bearish Market Confirmation
The same approaches we used in a bullish market can be used in a bearish market. However, it is important to remember that bearish market scenarios are best applicable to the Forex market. Shorti orting ng the the sto stock mark marke et carr carriies a subs substtanti antia al amount of risk, not recommended to all investors. Bearish market confirmation could also be used as a stop-loss strategy for those who intend to cut their losses short before the market fully changes direction and the losses get out of hand. Again, investors with high, medium and low risk tolerance are recommended to use different confirmation scenarios before exiting a los losing position.
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SECRET #1: Higher Risk Confirmation
based on a candlestick
Your first bearish indication is triggered once a strong bearish candle tests below the Ichimoku cloud. cloud. This is an indication that you might want to keep an eye on the market, as a reversal may be due soon.
Figure 2.7 Bearish Test Test below Ichimoku Cloud
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After the market tests below the lower band of the Ichimoku cloud, you still need to wait for the next period candlestick to open below the Ichimoku cloud. That is a signal to enter a bearish position for investors with higher risk tolerance.
Figure 2.8 Bearish Candle Confirmation below Ichimoku Cloud
In this example, the market had a massive and sudden bearish pressure due to a fundamental announcement. Savvy investors would have followed the risk event as the market tested the Ichimoku cloud, in order to jump on a short position right as the market opened below the cloud.
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SECRET #2: Med Medium ium Ris Risk k Con Confir firmat mation ion
based on candlestick pullback For For inve invest sto ors who have have mediu edium m risk risk tolera leran nce, ce, we recommend waiting until the first confirmation candlestick is completed, and then wait a little bit longer. Norm Normal ally ly,, at this this stag stage, e, we see see a temp tempor orary ary corr correc ecti tion on based on crowd psychology. If you are looking to short the market or sell, this could be the optimal time as the market has yet to reverse and you will get out just in time before the reversal occurs, at a higher price.
Figure 2.9 Correction after Confirmation below Ichimoku Cloud 41
In this example, the correction took place across multiple cand candle lest stic icks ks.. The reas reason on for for this this coul could d be due due to the the strength of the bearish candlestick, which confirmed the break below the Ichimoku cloud. Corr Correc ecti tion ons s norm normal ally ly go up to one of the the Fibo Fibona nacc cci* i* retracement retracement levels, oftentimes the 50%. A common question is, how do you know when the correction is over? Sadly, there is no guarantee for this, as there is none in investing in general. Your best bet is to pick a level based on your risk tolerance, and then wait patiently until the markets balance out.
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Patience is a profitable virtue. virtue.
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* Fibonacci retracement levels are defined and practiced in Kiana Danial’s book “Invest “Invest Diva’s Guide to Making Money in Forex ” as well as Inves Investt Diva’s award-winning education course, “Forex Coffee Break with Invest Diva.” 42
SECRET #3: Lowe Lowerr Risk Confi Confirmatio rmation n based
on Chiko span The ultimate confirmation for long-term traders with lower risk tolerance is triggered once the Chiko span (lagging line line,, show shown n as a blue blue,, dash dashed ed line line in the the char charts ts)) also also breaks below the Ichimoku cloud. Once this happens, we normally expect a trend change and a new cycle. If you are in a bullish position when this happens, you might want to consider cutting your losses short and getting out before it’s too late.
Figure 2.10 Beari Bearish sh Confirmation after Chiko Span Breaks below Ichimoku Cloud 43
As you may have noticed, this low risk bearish confirmation happe appene ned d 7 peri perio ods afte fter the the corr correc ecti tio on. So while ile a medium and high risk investor is already making money in the bear market (if they used this indication to short the market), the low risk investor is lagging behind. Howev owever er,, the the beau eauty of this this is tha that this his fin final trig trigge ger r coincided with a break below the 50% Fibonacci level as well, which further strengthens our strategy,
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Taking lower risk could result in lower profit. However, it has an equal potential to result in lower losses.
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USING ICHIMOKU AS AN EXIT SIGNAL
As briefly mentioned in i n Chapter two, you can use Ichimoku Kinko Hyo as an exit indication. Personally, I mainly use Ichimoku as an entry point and use use Fibon ibonac acci ci metho ethods ds to exit exit.. How However ever,, ther there e are are important Ichimoku scenarios you need to keep in mind in case you enter based on techniques other than Ichimoku indications.
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Using the t he Kumo (clou d) as as Your Your Piv ivot ot Zone
The Ichimoku cloud can be used as an important pivot zone once the market approaches it. While a breakout (above or below) the cloud can be used as an entry signal, a test or approach towards the lower/ upper band of the cloud can be used as an exit point. In a bearish pos positi ition, the upper pper band of the Ichimoku cloud can be used as a support level. If the market fails to break below the cloud, then the cloud turns into a pivot zone. In a bullish pos position, the lower band of the Ichimoku cloud can be used as a resistance level. If the market fails to break above the cloud, then the cloud turns into a pivot zone.
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Using the Cloud to Exit a Bearish Position In this example, we used an alternative strategy to enter a bearish position in the USD/CAD pair as it topped out in January 2016. We then used the upper band of the Ichimoku cloud as our profit taking limit order at 1.38. Note that the pair went on to break below the Ichimoku cloud and started a downtrend afterwards. We entered a new bearish position after exiting this one, once the market confirmed below the cloud, as explained in Chapter 2.
Figure 3.1 Using the Ichimoku Cloud in an Exit Strategy 48
Using the Cloud to Exit a Bullish Position A thick downward downward cloud can also act as a strong strong resistance level when the prices are below the Ichimoku cloud. When the market has been below the cloud for a while, we have no choice but to use other points of the IDDA to enter positions, especially if we are trading using only one time frame. In the example in Figure 3.2, the GBP/JPY pair indicated a long long--term term bearis arish h sig signal way befo before re this this cha chart was captured.
Figure 3.2 Using the Ichimoku Cloud in an Exit Strategy 49
While based on the Ichimoku cloud’s shape and direction we can can con conclud clude e that hat the the lon long-te g-term rm dire irectio ction n of the GBP/JPY is to the downside, we still can take advantage of short-term trading opportunities. opportunities. Ente Enteri ring ng base based d on a Bull Bullis ish h Engu Engulf lfin ing g and and Fibo Fibona nacc ccii retracement support, along with other points of the IDDA, we could set the lower band of the Ichimoku cloud as a bullish target to exit our position. Meanwhile note that our entry point on the daily chart, was exactly when the pair broke above the Ichimoku cloud on the 4-hour chart.
Figure 3.3 GBP/JPY Short Time Frame
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This shows that by using different time frames you can identify short and long-term entry/ exit points. This is precisely the reason why we zoom in and out of the time time fram frame e with with the the IDDA IDDA appr approa oach ch,, befo before re makin making g a trading decision.
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You can set an Ichimoku-based entry and an Ichimoku-based exit using different time frames.
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Using the Cloud as a Stop-loss The best method to set a stop-loss is using Fibonacci retra retrace ceme ment nt leve levels. ls. It allo allow ws you you to deve develop lop your your exit exit strategy based on your risk tolerance rather than market fluctuations, which is a much more responsible r esponsible method to trade. Howev owever er,, some someti time mes s the the Ichim chimo oku clo cloud can can help help strengthen your exit strategy. In Figure 3.4, we saw an Ichimoku-based entry signal on the NZD/USD 4-hour chart.
Figure 3.4 Using the Ichimoku Cloud in an Exit Strategy 52
Based on our risk-tolerance, we decided to set our bullish target at the 0.7995 level as opposed to the more moderate target and 76% Fibonacci retracement level of 0.7235. Unfortunately Unfortunately,, the market changed direction and ultimately ultimately broke below the important Fibonacci levels of 50% and 38%. Not only that, it also broke below a mostly upwardmoving Ichimoku cloud, signaling the direction may have changed for good in this time frame. Here are some ideas for using the cloud as a stop-loss:
•
To find the stop-loss of a bullish position, wait for a break break below below the the lower lower band of an upward moving cloud. A Fibonacci level below that zone could be set as your stop-loss.
•
To find the stop-loss of a bearish position, bearish position, wait for a break above the upper band band of a downward moving cloud. A Fibonacci level above that zone could be set as your bearish stop-loss.
Be very careful with setting stop-losses as often times, you may get kicked out pre-maturely. Unless you have solid reversal confirmation, try to keep your stop-losses loose, and make sure your margin requirements are moderate enough to endure a loose stop-loss. 53
USING ICHIMOKU ON DIFFERENT TIME FRAMES
This is the question I get asked the most: What is the best time frame in which to use Ichimoku Kynko Hyo? How do I use it i t on different time-frames? In this chapter, we will dig into different time frames and show you how you can use enter with Ichimoku within different different time frames.
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It Wor Works ks (Almo st st)) the Same Same on All Al l Tim Time e Frames Frames
I real really ly don’ don’tt unde unders rsta tand nd who star starte ted d the the rumo rumorr that hat Ichimoku Kynko Hyo behaves differently on different time frames. Just like any other form of technical analysis, Ichimoku works the same across the board. Why? Because the crowd psychology never changes. Short Short-t -term erm trade traders rs’’ mood mood swing swings s are are just just thos those e of like like long-term traders, only in a shorter time frame. A day trader changes from bearish to bullish way more often than a long-term investor. However, the day trader still has less mood swings than a scalper. As we see in the Elliot Waves, Wa ves, the markets move because of investors’ psychology, or crowd psychology.
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The The most most basi basic c prin princi cipl ple e of this this theo theory ry is that that mark market et movements are based on crowd behavior. The crowd’s mood mood swin swings gs from from opti optimi mism sm to pess pessim imis ism, m, and and thes these e changes in sentiment create repetitive patterns. The market cycles and the waves do not always appear in a neat, neat, pretty pretty wave wave.. Normally Normally,, each each wave is made up of subsub-wa wave ves, s, which hich beco become me more more visi visibl ble e as we zoom zoom in from longer time frames to shorter ones. This pattern can repeat itself —well, forever !
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Ichimoku Kynko Kynko Hyo works almost the same across all time frames. However, the amount amount of and false alarms profit , risk and false on different time frames varies.
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So if you are trading on the 4-hour chart and identify an Ichimoku-based entry signal, you can go ahead and add it to your bullish strategy. However, you need to adjust your profit target and stoploss accordingly. If you are trading on a 4-hour chart, your profit target is much lower than that of the daily chart. In the following pages, we will look at different Ichimoku strategies for the USD/CAD pair in the year 2014. 57
Ichimoku on the Monthly Chart In 2014, the USD/CAD pair finally confirmed above the Ichimoku cloud on the monthly chart in December. An ultra-long-term Invest Diva with high risk tolerance, can target either 1.1955 or 1.2725, expecting to reach target anywhere between 3 months and a year. This Invest Diva can set the lower band of the Ichimoku cloud, which coincides with the 23% Fibonacci level, as the stop-loss for this position.
Figure 4.1 Ichimoku Bullish Signal on the Monthly Chart 58
Ichimoku on the Daily Chart Chart
In the the same same year year,, a mode modera rate tely ly longlong-te term rm Inve Invest st Diva Diva woul would d have have iden identif tifie ied d a bull bullish ish Ichi Ichimo moku ku sign signal al much much earlier than the ultra-long-term Invest Diva: In July 2014. This Invest Diva can decide to enter a bullish position right after the confirmation of the break above the Ichimoku cloud, at 50% Fibonacci level at 1.0933. Depending on her risk tolerance, she can target either 1.10 or 1.11, which are 61% and 76% Fibonacci levels respectively, expecting to reach target anywhere between a week and six months.
Figure 4.2 Ichimoku Bullish Signal on the Daily Chart 59
Ichimoku on the 4-Hour Chart A medium-term medium-term trader could perhaps perhaps find more trading signals on the 4-hour chart … and faster too. On the 4-hour chart, a bullish Ichimoku signal was triggered on July 12 th , 2014. With this, the bullish targets could be set at either 1.0754 or 1.0790 depending on risk tolerance. Stop-loss is set at 1.0633, right below the Ichimoku cloud. The medium-term trader could expe expect ct to reac reach h targ target et anyw anywhe here re betw betwee een n 1 day day and and thre three e weeks. Note that, while reaching target is faster on the 4-hour chart, the amount of pips earned is smaller than those of longterm Invest Divas.
Figure 4.3 Ichimoku Bullish Signal on the 4-Hour Chart 60
Ichimoku on the 1-Hour Chart We are now down to one of the shortest time frames in which the Ichimoku cloud can be used. Here are some key points to remember when you decide to trade on shorter time frames, something that can be way more rewarding and way more risky than the previously discussed time frames. •
• • • •
•
You are aiming for a smaller smaller amount of pips. pips. Therefore Therefore it could be tempting to use a higher amount of leverage to compensate There is more opportunity opportunity to trade. Therefore Therefore there there is more more opportunity opportunity to make mistakes The shorter shorter the time time frame, the the more important the shape of the cloud A break below a rising , thick Ichimoku cloud could indicate more drops than a break below a flat or falling cloud A break above a falling, thic thick k Ichi Ichimo moku ku clou cloud d coul could d indicate more gains than a break above a flat or rising cloud. Targeting argeting secondary secondary Fibonacci tiers is not recommended recommended for any short-term trader, regardless of their risk-tolerance
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Trading shorter time frames exposes traders to much higher risk. Buyer beware.
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Now back to the example of USD/CAD in mid-2014. As you can see in figure 4.4, there is a ton of back and forth above and below the flat Ichimoku cloud, each representing a trading opportunity. The The brea break k belo below w the the flat flat clou cloud d indi indicat cates es a shor shortt-te term rm bearish signal targeting the first and closest support. The The brea break k abov above e the the flat flat cloud cloud indi indica cate tes s a shor shortt-te term rm bullish signal targeting the first fi rst and closest resistance. While the market sometimes tests above the key primary targets, it involves high risk, especially if you are trading on high leverage.
Figure 4.4 Flat Ichimoku on the 1-Hour Chart 62
However, you might have noticed that there are way more false breaks on the hourly chart compared with longer time frames. Our targets slowly upgrade as the Ichimoku cloud moves towards a specific direction. But once the pair breaks and confirms above or below the primary target other than the cloud, we can no longer rely on Ichimoku cloud signals for entry points on the 1-hour chart or any shorter time frame. The cloud at this point acts as a support (in an uptrend) and resistance (in a downtrend). However, there are other components of Ichimoku Kinko Hyo that could come to the rescue!
Figure 4.5 Ichimoku Trading on the 1-Hour Chart 63
In sh short orter er time frames, frames, once the cloud has expir xpire ed, we can can turn tu rn to t o the Kijun Kiju n and Tenkan lines as as entr entry y indic in dication ation
While I mentioned there is no big difference in Ichimoku tra trading ing on diffe iffere ren nt tim time fra frames, mes, perhap rhaps s the only only exception is trading on shorter time frames after the cloud signal expires. The fact that short-term traders aim for smaller targets, accelerates the expiration of the Ichimoku cloud. And that is when the other components components of the Ichimoku Ichimoku Kinko Hyo come into play, specifically the Kijun line (base line) and the Tenkan line (turn line). Day trad tradin ing g is all about out spe speed, and and tha that is why the the interactions of the fast and slow moving averages can sometimes reveal reversals more rapidly than the cloud. Figure 4.6 shows the USD/CAD pair on the hourly chart, when the pair has formed a definite trend. A search for a reversal is in the minds of most short-term traders. While we have ave other ther techn chnica ical cha chart patte tterns ind indica icating ing a reve revers rsal al,, the the Tenka enkan n and and Kiju Kijun n crosscross-ov over ers s valid validat ate e a technical chartist’s observation.
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On the left side of the chart in Figure 4.6, the USD/CAD pair is trading in an uptrend. It then hits a resistance level, and and form forms s a Doub Double le Top char chartt patt patter ern n — first first beari bearish sh reversal indication. While the pair remains above the upward moving Ichimoku cloud, the Tenkan Tenkan line (black, fast moving average) crosses below the Kijun line (pink, slow moving average). This is the second bearish reversal trigger. Combine that with the bearish engulfing candlestick pattern right below the Tenkan cross-over and you’ve got yourself a bearish reversal confirmation. The first bearish target is the 23% Fibonacci level, which also falls on the lower band of the Ichimoku cloud.
Figure 4.6 Tenkan & Kijun Lines Crossovers on the 1-Hour 1 -Hour Chart 65
Once this trade is executed and we have earned our profit, we can then move on to the Ichimoku cloud strategy. And the trading strategy continues to develop on Figure 4.6: 1. The pair pair breaks breaks below below the the Ichimoku Ichimoku cloud cloud on on the short time frame. We target the primary support level by entering a bearish position there. 2. The The Ichim Ichimok oku u clou cloud d signa signall expi expire res. s. We look look for other signals. 3. The The Tenk Tenkan an once again again breaks breaks below the Kijun Kijun line right at the 38% Fibonacci level, indicating furt furthe herr drop drops. s. We can can targ target et the the next next prim primary ary support level at 50% Fibonacci, entering a new bearish position. 4. Once Once this trad trade e is execute executed d with with profit, profit, there there is a forma rmatio tion of a doubl ouble e botto ottom m chart art patte ttern indi indica cati ting ng a bull bullish ish rever reversa sal. l. The The Tenka enkan n line line crosses above the Kijun line confirming our new bullish outlook. The primary target is set at the upper band of the Ichimoku cloud at 23% Fibonacci. 5. Once Once this trade trade is exec execut uted ed with with profi profit, t, we now now have a confirmation of a break above the Ichimoku cloud, giving us a new bullish trading sig signal. nal. We can can enter ter tha that tar targetin ting the the 23% 23% Fibonacci in a bullish trade, and make even more money. 66
6. This can continue forever!! Now… Before you get too excited and decide to always trade on the 1-hour chart, remember this: It is much easier to tell tell the the stor story y of what hat has has alre alread ady y happ happen ened ed in the the mark marke et than than to actu ctually lly dev develo elop succ succes essf sfu ul trad rading ing strategies. There is a lot of emotions and market noise involved when you trade with your own real money, and that is precisely the reason why even educated traders sometimes stop being rational and avoid admitting that their analysis went wrong. The most crucial practice for short-term traders on high leverage is exiting a losing trade. Trading on margin won’t give you the luxury of waiting the market out. And while almost every market corrects itself in the long run, your account could be long wiped out if you haven’t calculated your risk-tolerance and set up stop-losses properly. Another problem with trading on a shorter time frame is that you won’t have enough time to consider all the points of the Invest Diva Diamond, IDDA. And most often or not, you rely on triggers as opposed to developing a sound trading strategy. This is precisely why short-term trading is only recommended to traders with ULTRA high risk-tolerance who basically really don’t give a damn about their money.
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ICHIMOKUFIBONACCI COMBO
What is the relationship between Ichimoku and Fibona Fibonacci? cci? How How can you use the Ichimo Ichimokuku- Fibona Fibonacci cci combo to develop customized strategies based on your risk tolerance? This is basica ically my secret ingredien ient in strategy development—comb combin ine e the the Japan Japanes ese e Ichi Ichimo moku ku Kynk Kynko o Hyo, with the Italian Fibonacci retracement levels, and you’ll get yourself an international winning fusion.
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Combining Ichimoku with Fibonacci after a Downtrend We know a downtrend is over when the prices bottom-out. We have learned many bullish reversal patterns in the Forex Coffee Break with Invest Diva Education Course : Doub Double le Bott Bottom om,, Sauc Saucer er Bott Bottom om,, Head Head and and Shou Should lder erssBottom. You name it. And so far in this book, we have learned how a new trend is confirmed based on Ichimoku Kynko Hyo. Once you have gathered enough evidence that the market is indeed reversing to the upside, that is when you can turn to Mr. Fibonacci to set targets based on your risk tolerance. Step One
Draw a Fibonacci retracement level from the highest high of the previous downtrend, to the lowest low. Step Tw Tw o
Conf Confir irm m that that the the Fibo Fibona nacc ccii retr retrac acem emen entt leve levels ls fall fall on previously previously identified support, pivot, and resistance levels. Step Three
Set the Fibonacci retracement levels as your bullish target, based on your risk tolerance.
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Tada! You’ve got yourself a winning strategy … Okay I get it. The final step was a bit vague so let me elaborate. Once you have calculated your risk tolerance score (we dive into this in our our Wealth Wealth Man Manage agemen mentt Co Cours urse e and Ichimo Ich imoku ku Sec Secret rets s Co Cours urse e), you can can targ arget the the below low Fibonacci levels accordingly. However, you should keep in mind that it is not only your risk tolerance score which determines your exit strategy. You should also factor in the amount of leverage you are using, the overall health of your trading account, and how well your portfolio is hedged.
• Target the first Fibonacci retracement level if … Your
risk tolerance score is conservative You are planning to use high leverage Your trading account is low on usable margin You You have over five active positions (in Forex trading only)
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• Target the second Fibonacci retracement level if … …
Your risk tolerance score is moderate You are are plann plannin ing g to use use mode modera rate te amou amount nt of leverage You have moderate moderate amount amount of usable margin margin in your account You have between between three to five active active positions, positions, with ith repe repeat atin ing g a curr curren ency cy (For (Forex ex only only). ). For For exam exampl ple, e, if you are bulli ullish sh on USD in thre hree diffe differe rent nt curr curren ency cy pair pairs, s, lets lets say say, USD/ USD/JP JPY Y, AUD/USD, and USD/CAD, USD/CAD, and you are planning to go long the USD/CHF pair, then you should aim to take profit and close at least one of these positi positions ons at a moder moderate ate Fibona Fibonacci cci retra retracem cement ent level to avoid high risk.
• Target the third Fibonacci retracement level if … …
Your
risk
tolerance
score
is
moderately
aggressive You
are planning to use lower amount of leverage (between 5 and 2 in Forex) Your usable margin is in healthy territory You don’t have many active positions in Forex and You are well-diversified in other assets such as stocks and ETFs.
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• Target the fourth Fibon bonacci retracement lev level if …
Your risk tolerance score is aggressive
You are planning to use a maximum leverage of 2
You have no debt to your broker and your margin and equity are positive.
You don’t have many active positions positions in Forex and are well-diversified in other assets.
Figure 5.1 Fibonacci Retracement Levels After a Downtrend Has Reversed
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In Figure 5.1, the asset has completed a Double Bottom char chartt patt patter ern, n, brok broken en abov above e a fall fallin ing g wedg wedge e and and the the Tenkan line has broken above the Kijun line. However, the Chiko span has yet to break above the Ichimoku cloud, and the prices are facing difficulty breaking above the cloud as well. In this case, the upper band of the cloud is acting as a str strong ong resi resist sta ance, ce, follow llowed ed by the 23% 23% Fib Fibonac onacci ci retracement level which in this case is our pivot level on the daily chart. A day-trader with low risk tolerance or high leverage could have considered aiming for the 23% Fibonacci level before a risk event and got out rapidly. As risk tolerance score and overall health of the trading account account goes goes higher, higher, and the amount amount of leverage leverage goes lower lower,, the trader trader could could consid consider er aiming aiming for respe respecti ctive ve Fibonacci retracement levels AFTER the Ichimoku trigger is confirmed. One of my favorite methods is entering the position at a partial amount, and then adding on to the position as we gain confidence in our original analysis of the market. We then can use the respective Fibonacci retracement levels as stop-loss levels. Basically, the lower the risk tolerance score, or the higher the amount of leverage, the tighter your stop-loss should be. If you are not using high leverage, a stop-loss is not really necessary. 74
Pers Person onal ally ly I have have kisse kissed d stop stop-l -los osse ses s good goodby bye e for for the the most part. By keeping my trading account in good health and keeping my leverage at manageable amount, I buy more of the asset class once the prices go down instead of selling short. That way, the brokers who make money on my losing trades can only dream of getting their hands on my hard-earned cash.
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Combining Ichimoku with Fibonacci after an Uptrend
You can follow the same exact steps mentioned prev previo ious usly ly,, once once you you iden identi tify fy a bull bullis ish h reve revers rsal al in the the market. Keep in mind that this method is most commonly used for Forex trading, as we typically would want to avoid short selling other asset classes such as stocks, ETFs, Mutual Funds and bonds. Only in Forex you can trade in either direction at equal amount of risk. In Figure 5.2, the asset has completed a Double Top chart pat pattern tern,, brok broken en belo below w the impo import rtan antt 50% 50% Fibon ibonac acci ci retracement retracement level, while the Tenkan line has broken below the Kijun line. However, the Chiko span has yet to break belo below w the the Ichi Ichimo moku ku clou cloud. d. The pric prices es have have rece recent ntly ly confirmed a break below the Ichimoku cloud.
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Figure 5.2 Fibonacci Retracement Levels After an uptrend Has Reversed
Traders Traders with low l ow,, moderate and high risk tolerance could consider targeting the 61%, 76% and 100% Fibonacci retracement levels respectively. Again worth mentioning here is that you should always consider the impact of the fundamentals on selecting the suitable Fibonacci level as well.
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In forex trading, if a high-risk event is coming up, your target should be tighter than usual. When investing in stocks using this method, you should deeply analyze the future of the company from a fundamental point of view and determine whether the recent drop in prices was simply a pull-back, or the company is going bankrupt/ has no bright future. Conversely, if you are a long-term investor in a longer-term bullish position (say on the monthly chart) and the market has turned temporarily in a shorter time-frame as seen in Figure 5.2 (daily chart), chart), you can consider adding up to your bullish bullish position at the above Fibonacci retracement levels to lower your average.
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CASE STUDIES
Now that you have learned my Ichimoku secrets, it is time to look back and see how this technique has worked out for me and my Invest Diva students. In this chapter, I will be showcasing real strategies that have been published on InvestDiva.com, and the results they delivered. Following the IDDA approach, we not only analyze the price action from a technical point of view, but also the fund fundam amen enta tals ls and and mark market et sent sentim imen entt to conc conclu lude de on a trading strategy according to the trader’s risk tolerance.
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GBP/JPY Confirms above Ichimoku Cloud This This arti article cle was was pu publ blish ished ed on on Novembe emberr 15th, 2016 on investdiva.com. Starting with technical analysis, we identified an Ichimoku-based bullish signal, which was backed up by other technical points as well.
After a long year and a half dancing under the shadow of a falling cloud, finally GBPJPY confirms above Ichimoku cloud. Succ Succes essf sful ully ly.. And And by that that I mean mean we have have stro strong ng tech techni nica call veri verifi fica cati tion ons s of this this on at leas leastt two two dif differe ferent nt time time fram frames es.. However, with all the uncertainty and major economic events out of the UK this week, do the other points of the IDDA agree? agree? It's time to find out.
Figure 6.1 GBP/JPY Breaks above the Ichimoku Cloud
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Technical Analysis Dail Daily y Char Chart: t: It's been a hard year for Mr. British Pound and Brexit added to his pressure. As the Japanese yen got stronger, acting as a safe haven on global uncertainty, GBP did the opposite. The GBP/JPY officially officially broke below the Ichimoku cloud on the daily chart in December 2015 and since then saw nothing but down ... until it hit the support of 125. Whil While e this this pair pair does doesn' n'tt incl includ ude e the the US doll dollar ar,, the the US elec electi tion on resu result lts s did did have have an indi indire rect ct impa impact ct on it. it. The The Japanese yen got weaker across the board, and that is when we saw the first big push towards the Ichimoku cloud on Nov Novembe emberr 9th. The pair pair bro broke abov bove the piv pivot of 129.50. The next day it broke above the upper band of a symmetrical triangle triangle.. After that it broke above the Ichimoku cloud. And on Monday November 14th, it officially confirmed officially confirmed the the break. Howe Howeve ver, r, even even thou though gh we have have a numb number er of conc concre rete te bullish signals just on the daily chart, the only downside to this is that there is a very ery goo good chance that this is a FALSE BREAK. BREAK. GBP/JPY has done it before. There is no reason it won't do it this time. That is why we need the pair to break above the long-term 23% Fibonacci retr retrac aceme ement nt level level at 140. 140.15 15 before before we conclude a long-term reversal. Mont Monthl hly y Char Chart: t: Here Here is where things get interesting. On the monthly chart, as seen in Figure 5.2, we have yet another huuuuge bullish signal as the pair formed a bullish engulfing candlestick pattern. 82
Even though the pair still hasn't completed the cycle back to the lows of 2012, this could be a sign that the pair might have decided to end the cycle a bit earl early y (whic (which h is compl complet etely ely under underst stan anda dabl ble e in the the Fore Forexx world world)) and rever reverse se the direct direction ion,, especia especially lly considering the fact that this very thing happened in 2009, at the EXACT same level.
Figure 6.2 GBP/JPY Forms Bullish Engulfing on Monthly Chart
Fundamentals What went down: The fundam fundament ental als s aren' aren'tt as posi positi tive ve for Mr. Pound as the technicals. It is quite mixed so far actually. 83
First First and foremo foremost, st, UK CPI m i s s ed ex p ec t at i o n s on Tuesday. However, Bank of England (BOE) governor Carney said that the central bank now has a neutral stance on not activ ctive ely cons consid ide ering ring monetary policy, and that it is not ex p an an d i n g i t s QE p r o g r am . This is good news for Mr. British Pound. On the other hand, and as the world seems to be get cues from leaked material, we have leaked memos regarding Brexit that may also impact Mr. British Pound. According to a November 7 th memo obtained and then leaked by The Times and and repu republ blis ishe hed d by Reuters, There heresa sa May’s government is divided on Brexit. And because of the said emerged ” in how to division, “no common strategy has emerged” approach Brexit negotiations. negotiations. If the rumors are true and we have at least 6 months for Brex Brexit it to fina finalilize ze,, or mayb maybe e even even two two year years, s, the the GBP GBP crosses could take a break from the pressure and move up a bit. However, a spokesman for Theresa May has said “has no authority.” I guess only time that the leaked memo, “has will tell on this one, eh? the London session on Wednesday, the UK Jobless Claims Change (OCT) will be out at 9:30 AM GMT. The claimant count change, which measures the difference in the number of people claiming unemployment benefits from one month to the next, is expected to show a 1.9K rise in joblessness for October. The The unem unempl ploy oyme ment nt rate rate is expe expect cted ed to hold hold stea steady dy at 4.9%. Wh a t ' s
up
n ex t : Dur During
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On Thursday, UK Retail Sales (MoM) (OCT) will be out at 9:30 AM GMT. It is expected to show a 0.5% increase in consu consumer mer spend spending ing.. A stro stronge ngerr than than expec expecte ted d read reading ing could be enough to assure Invest assure Invest Divas that Divas that the Brits are keeping calm and carrying on with their purchases, which could be enough to to give us a fundamental thumbs up on our bullish scenario for GBP/JPY. Market Sentiment According to one of the largest Forex brokers in the US, 46% of traders were bullish on GBP/JPY on Tuesday. Tuesday. Long positions positions are 2.5% 2.5% lower than than Monday and and 22.3% belo below w lev levels seen last last week. We use this as a contrarian indicato indicator r to to price action, and the fact that the majority of traders are short gives signal that the GBPJPY may continue higher. The trading crowd has grown further net-short from yesterday but is unchanged since last week. The combination of current sentiment and recent changes gives a further bullish trading bias.
Trading Strategy Putting the technical, fundamental and sentimental points of the IDDA approach together, the medium-term bullish strategy seems to have a reasonable risk-reward ratio. Bullis Bullish h Scenari Scenario: o: Depe Depend ndin ing g on your your risk risk tole tolera ranc nce, e, you you coul could d cons consid ider er targeting 140.15 as this week's UK fundamental volatility unfolds. A break above this level could open doors for further gains towards 38% Fibonacci level at 149. 85
Bearis Bearish h Scenar Scenario: io: A break back below the Ichimoku cloud would change our outlook back to bearish with 125 as first alternative target.
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GBP/JPY GBP/JPY Tradi Tradi ng Resu Result lt,, November Novemb er 23, 2016 2016
At the time of writing this book, the pair reached our first bullish bullish target target to the final digit on November 23 rd 2016, within less than 6 trading days.
Figure 6.3 GBP/JPY Reaches Target Target at 140 on November 23rd
Since you are reading this book after this date (unless you are a time traveler), it is now your turn to check your GBP/ GBP/JPY JPY char chartt and and chec check k how how our our long long-t -ter erm m stra strate tegy gy panned out. How How would ould you you have have trad traded ed the the GBP/ GBP/JP JPY? Y? How How long long would you stay in the trade? 87
NZD/JPY Confirms above Ichimoku Cloud and Triangle Chart Pattern
This This article article was pub publis lished hed on Octob ctober er 19th, 2016 on investdiva.com. After the third and last presidential debate in the US, NZDJPY confirms above Ichimoku cloud while USD/JPY heads back towards it. How can we put the politics and crowd psychology together to develop a winning trading strategy? Let's take an IDDA approach to find out. Technical Analysis
Figure 6.4 NZD/JPY Breaks above Ichimoku Cloud 88
Medium Time Frame rame
The NZD/JPY pair broke above the Ichimoku cloud and abov above e a tria trian ngle char chartt patte ttern on the the daily ily char chartt on Wedn Wednes esda day y. This This cou could sign signal al furt furthe herr bull bullis ish h move moves s tow toward ards a medi mediu um-ter -term m targ targe et of 75.75 .75 — the the 50% Fibonacci retracement level and an important resistance. The pivots remain on the Ichimoku cloud and 73.45 and 72.50, as we have discussed in our Facebook our Facebook group. group .
Long Long Time Frame rame
On the monthly chart, NZDJPY remains inside a thick, upward-moving upward-moving cloud, indicating a long-term consolidation. Fundamentals
Whil While e we are are look lookin ing g at New New Zeal Zealan and d and and Japa Japane nese se currencies, it is important to remember that a downward pressure on the US dollar could sometimes impact the Japanese yen. The main driver behind the NZDJPY gains was Mond Monday ay's 's Cons Consum umer er Price Price Inde Index x out out of New New Zeal Zealan and, d, which came in at 0.2%, better than the expected 0.1%. However, it was down from a previous 0.4%; this could indicate that the NZD gains may be short-lived from a fundamental point of view. Japa Japan' n's s All All Indu Indust stry ry Activ Activity ity Inde Index x came came in lower lower than August, yet another force behind short-term JPY weakness. Comin oming g up… up… 89
Friday: During the Asian session, New Zealand releases
their Credit Card Spending. Market Market Senti Senti ment
The majority of the New Zealand dollar traders (almost 39%) currently are shorting it. As a contrarian trader, you may consider this as a short-term bullish signal. Trading radin g Strategy Strategy
Considering all points of the IDDA, we can conclude on a short-term strategy as opposed to a long or medium-term strategy. Depen Dependin ding g on your your risk risk toleranc tolerance, e, you could could conside considerr a short-term bullish position on the NZD/JPY. Bullish Scena cenario rio
Aggressive to moderately aggressive traders can enter a position now, targeting 75.75 and 80 in extension. Stop-loss can be set at 73.45 for those with lower risk tolerance. Bea Bearish Scena cenario rio
A break back below the Ichimoku cloud on the daily chart would change our outlook back to bearish, with 73.45 as first alternative target.
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NZD/JPY Bullish Testing Continues
This article was published on November 1st , 2016 as a follow-up to the previous strategy on investdiva.com. Happy November, November, Invest Divas! Mr. Kiwi is having a good start to the month with NZDJPY testing above the triangle pattern pattern we identified months ago. But should we be all be excited or is there some barrier preventing Mr. Kiwi from jumping higher? Let's take an IDDA approach to find out. Technical Analysis
Figure 6.5 NZD/JPY Confirms Breaks above Ichimoku Cloud 91
Medium Time Frame rame
The NZD/JPY pair broke above an upward moving Ichimoku cloud on October 26 th, and has been continuing above a very thin and flat cloud ever since. We have been eyeing ing 75.75, as we have discusse ssed in our our Faceb Faceboo ook k grou group. p. Howe Howeve verr, the the pair pair is still still trap trappe ped d inside a new triangle pattern. The good news is that on the first trading day of the month, the pair is already attempting to break above it and opened above a median pivot level of 74.75. This could signal further bullish moves towards a mediumterm target of 75.75 — the 50% Fibonacci retracement retracement level and an important resistance. The pivots remain on the Ichimoku cloud and 73.45 and 72.50. Long Long Time Frame rame
On the the mont monthly hly char chart, t, NZDJ NZDJPY PY rema remain ins s insi inside de a thick thick,, upward-moving upward-moving cloud, indicating a long-term consolidation. The brand new candle for November seems to be trying to move up and away from the solid consolidation. The Ichimoku cloud itself is moving upward; however, its lower band is acting as a solid support.
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Figure 6.6 NZD/JPY Inside Thick Ichimoku Cloud on Monthly Chart
Fundamentals Japa Japan n Side: ide: The Bank of Japan (BOJ) decided to maintain
the the shor shortt-te term rm nega negativ tive e inte intere rest st rate rate at -0.1 -0.10% 0% earli earlier er during the Asian session today. They will be carrying on with the current pace of JGB purchases so holdings can increase at an annual pace of 80 trillion JPY. However, the policymakers of the Land of the Rising Sun admitted that risks to economic growth and inflation are a bit on the downside, particularly when it comes to export activity and output. They mentioned that there’s still some momentum in price levels but that it weakened recently, adding that inflation could rise towards 2% in the second half of 2018. 93
Still, BOJ folks agreed to keep very close tabs on price developments developments in the coming months. They will continue to impl implem emen entt QQ QQE E unt until the econ econom omy y achi achiev eves es its its 2% inflation target. Also, BOJ officials warned that lower confidence in fiscal stability could cause the Japanese economy to perform weaker than expected. All to create a weaker outlook on Mr. Japanese Yen.
New Zealand Side: Later today (which is November 2 nd in the the Land Land Down Down Unde Under) r),, at 9:45 9:45 PM GMT, MT, a heft hefty y quarterly jobs report will be released out of New Zealand.
In last last quar quarte terr (Q2) (Q2),, net net empl employ oyme ment nt in New New Zeal Zealan and d inc increas eased by 2.4% .4%. That hat was a lot better than the expected 0.6% increase. In the Q3 jobs report today, employment in New Zealand is expected to increase by 0.6%, which is obviously slower than than the previ previous ous quart quarter’ er’s s 2.4% 2.4% incr increas ease. e. With With this this a lowe lowerr-th than an-e -exp xpec ecte ted d outc outcom ome e coul could d take take a hit hit on Mr. Mr. Kiwi's joyous up-moves.
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NZD/JPY Trading Result, November 23, 2016 At the time of writing this book, the pair has h as so far reached two of our targets and is currently reaching for the third at 38% Fibonacci level at 80. Pivot is set at 78 while new support level is at 50% Fibonacci at 75.75.
Figure 6.7 NZD/JPY NZD/JP Y Reaches 2 Targets, Reaching for Third
It is now your turn to check your NZD/JPY chart and find out how the rest rest of our strategy strategy panned out. Is Ichimoku worth a shot? 95
USD/JPY Confirms above Ichimoku Ich imoku Cloud – Yellen to Speak Friday
This This arti article cle was pu publ blish ished ed on on Oc Octo tobe berr 12th 2016 2016,, on investdiva.com, as a follow-up to previously spotted bullish reversal signal published on October 4th, titled “USD/JPY Enters Ichimoku Cloud For the First Time in Four Months.” Months. ”
Hallelujah! Am I only dreaming or is this real? USDJPY con confirm firmed ed abov above e Ichi Ichimo moku ku clou cloud d for for the the firs firstt time time in a whopping 10 months this week. Now all we need is another signal to fully change our outlook to bullish. “And what is that?” you ask. Read on, my beautiful diva.
Figure 6.8 USD/JPY Confirms Breaks above Ichimoku Cloud 96
Technical Analysis The Dollar Gods have spoken and Ms. USA is gaining back back her her mome moment ntum um on the the Forex orex danc dance e floor loor.. The The USD/JPY pair is officially above the Ichimoku cloud and above the pivot level of 103.50, stretching towards the next pivot of 23% Fibonacci at 105.25 during the Thursday’s early Sydney session. The US dollar strength on Wednesday was specifically due to FOMC minutes, which showed the Fed may be up for a rate hike relatively soon. A break above the 23% Fibonacci could indicate further gains towards resistance of 108.70. A shocking risk event out of the US to turn the pair back below the Ichimoku cloud would change our outlook back to bearish. Support is remaining strong at 100.
Trading Strategy With growth in US economic data, anticipations of a 2016 rate hike, and the October effect, the USD/JPY pair has finally confirmed above the Ichimoku cloud. This already is good news for the USD bulls. However, we have one more barrier to break above: the 23% Fibonacci level.
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B u llll i s h
Sc en en ar i o: o: IIff you have been following my
signals and have high risk tolerance, you probably are already in a bullish trade for USD/JPY targeting 105. For those with lower risk tolerance, we need yet another confirmation signal by break above 105.25. So yeah ... stay tuned, my love!
Bea Bearish Scena cenario: rio: We could certainly see a temporary
pullb pullbac ack k at arou around nd 105, 105, whic which h coul could d be a pippip-ma makin king g chance for short-term traders. However, However, for us to change our outlook to long-term bearish again, we need the pair to go nuts and move back down below the Ichimoku cloud. Only a break below 100 could open doors to new 2016 lows.
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USD/JPY Trading Result, November 23, 2016
After a bunch of follow-ups with the Invest Diva community, community, at the time of writing this book, the pair has reached above and and beyo beyond nd our our expe expect ctat atio ions ns.. As one one of Inve Invest st Diva Diva students puts it, USD/JPY has turned into, “the gift that keeps on giving. ”
Figure 6.9 USD/JPY Reaches 3 Targets, Reaching for Fourth
One last time, it is now your turn to check your USD/JPY chart and see how the rest of our strategy panned out. 99
It’s Time for You to Use Ichimoku Secrets
So that’s our Ichimoku Secrets combined with Fibonacci levels to develop strategies based on your risk tolerance. Now it’s your your turn turn.. The The Ichi Ichimo moku ku secr secret ets s have have been been prov proven en thou thousa sand nds s of time times s over over.. All All of my pers person onal al success has been built by doing exactly what I taught you in this book. As you may have noticed, I personally use the Ichimoku indicator mostly on the daily chart as a medium to longterm strategy development assistant. In the case studies I show-cased some of our success
stories. I encourage you to go through our other strategies on inve invest stdi diva va.c .com om thro throug ugho hout ut the the year years s and and see see for for yourself the outcomes of following the Ichimoku indicator. Obvio Obvious usly ly,, ther there e are are some some case cases s where here the the Ichim Ichimok oku u indicator created a false signal, which resulted in losses. In our our Ichi Ichimo moku ku Secr Secret ets s onli online ne vide video o cour course se,, I have have covered many more case studies —includ including ing my losing losing trades and the reasons behind the losses —while exhi exhibi biti ting ng more more deta detailils s abou aboutt Ichi Ichimo moku ku that that are are only only possible to communicate in video format. 100
Additionally, Additionally, I have added a bonus risk-management section, which is based on my lectures at Baruch College, to help help you you calcul calculate ate your your risk-t risk-tole oleran rance ce and there therefor fore e identify the best Fibonacci retracement levels for you. Foll Follow ow along long with ith the the cou course and and other her Invest vest Diva iva education services. Plug into the Invest Diva community. And then write to me and tell me about your success story. story. You can reach me at kiana@inv
[email protected] estdiva.com
Links Links and Resourc source es
Your free membership to Invest Diva: www.investdiva.com Diva: www.investdiva.com
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About the Author Born and raised in Iran as a religious minority, Kiana was awarded a scholarship from the Japanese government to study electrical engineering in Japan, where she faced a new challenge of being the only girl and only foreigner in her class. class. This is precisely precisely when she she knew she wanted wanted to dedi dedicat cate e her her life life to empo empowe weri ring ng mino minori ritie ties, s, espec especial ially ly women in male dominated dominated industries, such as finance and technology. During her 7 years in Japan, she became recognized as an outspoken “foreign” woman, and became a lecturer on politic political/ al/ social social issues in universiti universities es around Japan. Japan. She was later assigned a seat on a Japanese National TV (NHK) talk alk show show as a comme mmenta tattor on internat atiional and domestic issues, on which she appeared regularly for two years. These activities activities gained her widespread widespread recognition recognition and as a result she won a number of key awards (see below). Afte Afterr grad gradua uati ting ng from rom Toky Tokyo o Univ Unive ersit rsity y of Elec Electr tro o Communications with honors, Kiana worked as an analyst at a consulting company, taking over clients such as CocaCola Cola and Toyo Toyota ta in Japan. Japan. Howe Howeve ver, r, having having found found her her true passion in finance, she rapidly decided to move to New York to pursue her dream, and started working at the largest largest curren currency cy broker broker in the US in 2010. 2010. She soon soon discovered that there was a significant lack of education in the field of investing as well as a significant lack of women in the industry, which was something she was eager to change. So Kiana decided to leave her job and start an investing education company for women in May 2012. 102
As part of this transition, Kiana start arted writing an educa educatio tiona nall blog, blog, which which was disc discove overe red d by McGr McGrawaw-Hi Hill ll Business, who in turn offered her a book publishing deal in August August 2012. 2012. Her first first book book,, Invest Diva’s Guide to Making Money in Forex was published in June 2013, and has been featured featured on CNN, TIME magazine, magazine, Forbes, ABC News, Market Watch, FX Street, Nasdaq, and the NYSE. Fluent in Japanese, English and Farsi, Kiana has collaborated with international and domestic companies such as NASDAQ (NY), Forbes magaz magazin ine, e, Fore Forexx TV (NY), (NY), SHIF SHIFT T (NY), (NY), Orbe Orbexx (Cypr (Cyprus us), ), Plati Platinu num m Inve Investm stmen ents ts (UK), (UK), Scutti Scuttify fy (Aust (Austra rali lia), a), Trading Central (Singapore), Capital Index (UK), AutoChartist (South (South Africa) Africa),, BFSFor BFSForex ex (China), (China), Tokyo-M Tokyo-MX X TV, Aonors Aonorshe he School (Japan) and FX-ON (Japan) on consulting, education and various media projects. Kian Kiana a is also also an Adju Adjunc nctt Prof Profes esso sorr of Fina Financ nce e at Baru Baruch ch College, teaching an advanced wealth management course. She has been recognized recognized with the following following awards: • Educ Educat ation ion Tool Toolss Best Best in Class Class – 2016 2016 (Benz (Benzin inga ga Finte Fintech ch Awards) • New New York York Busin Busines esss Jour Journa nal l Wome Women n of Infl Influe uenc nce e Honoree – 2016 • Best Financial Education Media Provider – 2014 (Shanghai Forex Expo) • Best Commentator on a Japanese Social Issues Program, Generation Y– 2008 -2010 (Japanese National TV, NHK) 103
Giving Back Kiana ana is extre tremely activ tive and and pass assionate about empowering women to help them unlock their potential and and help help them them reali realize ze that that they they can can mak make a posit positive ive impa impact ct on the the worl world d arou around nd the them. Some Some spec specif ific ic examples of her leadership include: She is a member of the Women’s Leadership Council, whose role is to planning and holding women empowerment events, conducting investment education lectures, and increase their number of members of the community. She is an avid and award winning participant in pro bono activities, aiding refugee asylum seekers. She is also a volunteer reporter on Middle Eastern political issues. Kiana is recognized as a unique icon within the Persian Jewish community in Great Neck, NY. In this community, girls are traditionally taught to avoid going after their dreams, career or social life, because, according to the tradition, “these tradition, “these activities activities decrease decrease the chances chances of them getting married within the community, and labels them as an unsuitable marriage candidate for Persian Jewish men.” men.” Getting married has been set as the primary goal for these women. Men typically have the upper hand and are intimidated by powerful women. Kiana herself was seve severe rely ly crit critic iciz ized ed for livi living ng in alon alone e Japa Japan, n, and and for starting up a company in New York, things that “good Persian Jewish girls are not supposed to do.” do.” She was subject to a large amount of gossip, being told that she doesn’t be belong long to the the commu ommuni nity ty bec because ause of her her activities. 104
Afte Afterr over overco comin ming g these these chall challen enge gess and esta establi blish shing ing herself as a successful entrepreneur and author, she has been able to open the minds of the community, who now avidly seek her advice and empowerment. She has held nume numero rous us wome women n empo empowe werm rmen entt even events ts withi within n the the community, encouraging women to take control of their finances, life and education. She has been recognized with the following award: Pro Pro Bono Bono Humani Humanitar tarian ian Award Award – 2013 (IABA, (IABA, Irania IraniannAmerican Bar Association)
Kiana believes believes in the concept concept of “paying of “paying it it forward” and, forward” and, comb combin ined ed with with her her desir desire e to help help wome women n and and othe otherr mino minori riti ties es succ succee eed, d, has has a pro proven ven trac track k recor ecord d as a ment mentor or.. She She has has deve develo lope ped d a Faceb aceboo ook k comm commun unit ity y group to help empower women on a higher level and is a top mentor at Baruch College and Invest Diva.
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Whether you’ve already started trading, or you’re itching to start, this is a
recipe for making more profit, more often. What if you could develop winning strategies all by yourself? What if you were the first to spot a trend-change in the market? What if you were able to calculate the exact target levels and aim for them based on your portfolio and risk tolerance? This book will help you build your strategy development skills —fast.
“Kiana has done a tremendous job of simplifying a powerful yet commonly misunderstood indicator. Intermediate to experienced traders will find this book of great value if they are looking to adjust their medium to long term strategies to fit specific risk tolerances.” – Ilan Azbel, CEO at AutoChartist
KIANA DANIAL has been creating successful trading strategies since she was an electrical engineering student in Japan. After doubling her initial investment during the 2008 market crash, by trading the Japanese Yen against the US dollar with the help of a Japanese trader, she rapidly moved to New York to pursue a career on Wall Street. She then launched her investing education website, INVEST DIVA, and received an offer to publish her first investment book by McGraw-Hill. But the success-train was just getting started ̶once she started teaching her new formula to other traders, the results were simply breathtaking. Now the question is … are YOU ready to learn the Ichimoku secrets and develop winning strategies?
InvestDiva
@InvestDiva
@KianaDanial