Horizontal Lines for Ichimoku

Here is the code that displays the last value of Span A and Span B, extending left, back into the current price action. The horizontal plots are set to change color based on the relative position of Span A and Span B. The colors change to match the default colors of the cloud. Screenshot is attached to show how it displays on the chart. Note, this does not plot the Ichimoku, only the dashed horizontal lines. You will need to add the Ichimoku study to your chart in order to display the cloud and other plots.

Perhaps you can enlighten our viewers as to the meaning of this indicator, how you would use it to make trade decisions.

input tenkan_period = 9;
input kijun_period = 26;
def Tenkan = (Highest(high, tenkan_period) + Lowest(low, tenkan_period)) / 2;
def Kijun = (Highest(high, kijun_period) + Lowest(low, kijun_period)) / 2;
def "Span A" = (Tenkan[kijun_period] + Kijun[kijun_period]) / 2;
def "Span B" = (Highest(high[kijun_period], 2 * kijun_period) + Lowest(low[kijun_period], 2 * kijun_period)) / 2;
rec spanALast = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then "Span A"[-kijun_period] else spanALast[1], Double.NaN);
rec spanBLast = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then "Span B"[-kijun_period] else spanBLast[1], Double.NaN);
plot trackSpanA = spanALast;
trackSpanA.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanA.AssignValueColor(if spanALast > spanBLast then Color.YELLOW else Color.RED);
plot trackSpanB = spanBLast;
trackSpanB.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanB.AssignValueColor(if spanALast > spanBLast then Color.YELLOW else Color.RED);

Awesome. This is exactly what I was thinking about. I’ll explain more.

The next step would be to plot lines for multiple ‘Span A’ and ‘Span B’ time frames on a single chart, and then label those plots as their given time frames (The naming would only need to be done once and would never change)

I’ve noticed that by drawing lines myself for the values of the Span’s, I can get a pretty accurate chart for support and resistance. It’s proving itself fairly reliable. I believe that having the ability for them to move as the chart moves will only increase the accuracy of this test. It may also be beneficial to have the lines extend further left as to “see” when the price breaks through it. All the lines you see on the chart are just from plotting the values of the clouds on different time frames. I start with the slowest movers first and work down. Meaning… Plotting lines for the Week cloud values, the day values, the 4 hour values, the hour values, and the 30 minute values. As we continue down, the values change almost too frequently for me to chart them. (Hence the reason for wanting something that does it for you automatically.

Here’s how I used it this morning on an SPX PUT.

At market open, your indicator signaled a breakout spike (Doing exactly what it’s written to do) that failed to cross above the cloud. Heading downward, it finds support at 6:45am right along the 30 minute Span B cloud value  of 2433.06 (Labeled as 30M Btttm) From here it pulls back off it’s low to find resistance at 6:50am up at the Hourly Span A cloud valued at 2436.42 (Labeled as Hr Top). On the 5 minute chart, this is also very close to it’s time current cloud. Your indicator issues a bear breakout w/o confirmation at this point.

Going back to the minute chart, we see that it rides this new resistance trend until 6:59am at which point it turns south and does not break through. This is roughly where I entered the trade. Heading south, SPX touches the 4 hour Span A cloud valued at 2434 and bounces off of it, but only just slightly. It’s not even enough to take it back to the Hr Top cloud (2436.42). It then breaks through both the 30M Bttm plot and the Hr Bttm plot at 7:05am. It bounces again, but does not cross through the 4Hr cloud value it broke before.

Then around 7:16am it crosses below the Daily Top and the 30M Top (2430.28 and 2429.31, respectively). This is where I sell because the price touches the 15 minute chart cloud and I’m a chicken.

Hopefully this walk through will help other readers see what I’m seeing with the benefit of the cloud values. If anyone has questions or wants further explanation I’m happy to answer the best I can.

Currently I’ve been drawing the lines in the morning before the open. I see what you’re saying about the values changing, and in my experience, the slower values changes throughout the day are negligible as they are less volatile.

However, I’ve been attempting to collect some data on the value changes regardless of how slight and see what impact it has on those “resistance/support” lines.

What kind of price would we be talking to develop this out further? As mentioned earlier, there really isn’t a way to back test it. Real time results would be the only way to know for sure. It’s very possible that it might not even work. At this point I’m not sure.

Is it a requirement for Aggregation periods to have a set point of data to look at to plot? (Open, high, close, etc.) Or is it possible to use Multi Time Frame charting to update as price moves?

Thanks for all your help and answering these questions. I appreciate it.

In response to additional request posted in the comments section on 8/29/17 by AquaticNomad.

Here is the same code I posted originally which has been modified to plot the same levels from the daily time frame. The screenshot I include below shows the indicator plotted on the right side chart, which is set to Hourly. The chart on the left is set to Daily.

This will show you how to plot the Span A and Span B  value from a higher time frame.

Editors note: Two statements originally posted in the code below contained an error. def "Span A" and def "Span B". They have been corrected.

input tenkan_period = 9;
input kijun_period = 26;
input higherTimeFrame = AggregationPeriod.DAY;
def Tenkan = (Highest(high(period = higherTimeFrame), tenkan_period) + Lowest(low(period = higherTimeFrame), tenkan_period)) / 2;
def Kijun = (Highest(high(period = higherTimeFrame), kijun_period) + Lowest(low(period = higherTimeFrame), kijun_period)) / 2;
def "Span A" = (Tenkan[0] + Kijun[0]) / 2;
def "Span B" = (Highest(high(period = higherTimeFrame)[0], 2 * kijun_period) + Lowest(low(period = higherTimeFrame)[0], 2 * kijun_period)) / 2;
rec spanALast = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then "Span A"[-kijun_period] else spanALast[1], Double.NaN);
rec spanBLast = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then "Span B"[-kijun_period] else spanBLast[1], Double.NaN);
plot trackSpanA = spanALast;
trackSpanA.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanA.AssignValueColor(if spanALast > spanBLast then Color.YELLOW else Color.RED);
plot trackSpanB = spanBLast;
trackSpanB.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanB.AssignValueColor(if spanALast > spanBLast then Color.YELLOW else Color.RED);

Taking what you gave me, it was pretty straightforward to put it all together. I made a completely new study to remove clutter. Since Tinkan and Kijun’s are defined in each set, it seemed like it would be ok to do it this way.

<pre>

input tenkan_period = 9;
input kijun_period = 26;

#THIRTY MINUTE LINES

def tenkanthirty = (Highest(high(period = AggregationPeriod.THIRTY_MIN), tenkan_period) + Lowest(low(period = AggregationPeriod.THIRTY_MIN), tenkan_period)) / 2;
def kijunthirty = (Highest(high(period = AggregationPeriod.THIRTY_MIN), kijun_period) + Lowest(low(period = AggregationPeriod.THIRTY_MIN), kijun_period)) / 2;
def “Span AThirty” = (tenkanthirty[0] + kijunthirty[0]) / 2;
def “Span BThirty” = (Highest(high(period = AggregationPeriod.THIRTY_MIN)[0], 2 * kijun_period) + Lowest(low(period = AggregationPeriod.THIRTY_MIN)[0], 2 * kijun_period)) / 2;

rec spanALastThirty = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then “Span AThirty”[-kijun_period] else spanALastThirty[1], Double.NaN);
rec spanBLastThirty = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then “Span BThirty”[-kijun_period] else spanBLastThirty[1], Double.NaN);
plot trackSpanAThirty = spanALastThirty;
trackSpanAThirty.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanAThirty.AssignValueColor(if spanALastThirty > spanBLastThirty then Color.YELLOW else Color.RED);
plot trackSpanBThirty = spanBLastThirty;
trackSpanBThirty.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanBThirty.AssignValueColor(if spanALastThirty > spanBLastThirty then Color.YELLOW else Color.RED);

#ONE HOUR LINES

def tenkanonehour = (Highest(high(period = AggregationPeriod.HOUR), tenkan_period) + Lowest(low(period = AggregationPeriod.HOUR), tenkan_period)) / 2;
def kijunonehour = (Highest(high(period = AggregationPeriod.HOUR), kijun_period) + Lowest(low(period = AggregationPeriod.HOUR), kijun_period)) / 2;
def “Span AOnehour” = (tenkanonehour[0] + kijunonehour[0]) / 2;
def “Span BOnehour” = (Highest(high(period = AggregationPeriod.HOUR)[0], 2 * kijun_period) + Lowest(low(period = AggregationPeriod.HOUR)[0], 2 * kijun_period)) / 2;

rec spanALastOnehour = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then “Span AOnehour”[-kijun_period] else spanALastOnehour[1], Double.NaN);
rec spanBLastOnehour = CompoundValue(1, if IsNaN(close[-1]) and !IsNaN(close) then “Span BOnehour”[-kijun_period] else spanBLastOnehour[1], Double.NaN);
plot trackSpanAOnehour = spanALastOnehour;
trackSpanAOnehour.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanAOnehour.AssignValueColor(if spanALastOnehour > spanBLastOnehour then Color.YELLOW else Color.RED);
plot trackSpanBOnehour = spanBLastOnehour;
trackSpanBOnehour.SetPaintingStrategy(PaintingStrategy.DASHES);
trackSpanBOnehour.AssignValueColor(if spanALastOnehour > spanBLastOnehour then Color.YELLOW else Color.RED);

</pre>