Ichimoku Kinko Hyo (the Ichimoku Cloud) is a built-in MT4 trend indicator that plots five lines directly on the price chart. Two of them — Senkou Span A and Senkou Span B — are projected ahead of price and form the Kumo, or cloud. Traders read price above the cloud as a bullish bias and below it as bearish, using the cloud itself as a zone of potential support or resistance.
How to add the Ichimoku Cloud in MT4
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Open the indicator
In MT4, click
Insert ▸ Indicators ▸ Trend ▸ Ichimoku Kinko Hyo. -
Set the periods
Leave the defaults — Tenkan-sen 9, Kijun-sen 26, Senkou Span B 52 — or adjust them. These are the classic Ichimoku settings.
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Click OK
Ichimoku plots directly on your price chart as five lines, including the two Senkou spans that form the Kumo (cloud).
How to read Ichimoku Kinko Hyo
- The cloud (Kumo) — price above the cloud suggests a bullish bias; below it, bearish. A thicker cloud marks a wider zone of potential support or resistance.
- Tenkan-sen & Kijun-sen — the conversion line (9) and base line (26) are faster and slower midpoints of recent highs and lows; their relationship hints at shorter-term momentum.
- Chikou Span — the lagging line plots the current close shifted back, used to compare current price against past price.
- Senkou Span A & B — these two projected lines are the cloud's edges; the space between them is shaded as the Kumo.
Limitations
Ichimoku lags and can whipsaw in ranging or choppy markets, where price drifts in and out of the cloud without a clear trend. Heads-up on MT4 specifically: it draws the Senkou spans as lines and does not shade the cloud as boldly as some newer platforms, so the Kumo can be harder to read at a glance. Treat Ichimoku as one input among several, always with a stop loss, and test it on a demo. Nothing here is financial advice, and most retail traders lose money.
Test the Ichimoku Cloud on a free demo
Add Ichimoku Kinko Hyo and other indicators to a free MT4 demo and watch how the cloud behaves in trending and ranging markets before going live.
⚠ Trading forex and CFDs is high-risk and most retail traders lose money. This is not financial advice.
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Related
See the best MT4 indicators guide. Other indicators: Moving Average and MACD.
Frequently asked questions
What is Ichimoku Kinko Hyo?
Ichimoku Kinko Hyo — often called the Ichimoku Cloud — is a trend indicator that plots five lines on the price chart. Two of them, Senkou Span A and B, are projected ahead of price and shade the area between them as the Kumo, or cloud. The cloud is used to gauge trend direction and potential support and resistance.
How do I add the Ichimoku Cloud in MT4?
Click Insert ▸ Indicators ▸ Trend ▸ Ichimoku Kinko Hyo, leave the default periods (Tenkan-sen 9, Kijun-sen 26, Senkou Span B 52) or change them, and click OK. The five lines plot directly on your chart, including the cloud projected ahead of price.
What are the default Ichimoku settings?
MT4 uses the classic Ichimoku settings by default: Tenkan-sen 9, Kijun-sen 26, and Senkou Span B 52. These periods come from the original system. You can change them, but there is no single best setting — test any change on a demo for the instrument and timeframe you trade.
What do the five Ichimoku lines mean?
Tenkan-sen (conversion) and Kijun-sen (base) are faster and slower averages of recent highs and lows. Senkou Span A and Senkou Span B are projected ahead and form the cloud (Kumo). Chikou Span (lagging) plots the current close shifted back. Price above the cloud is read as a bullish bias, below it as bearish.
Is the Ichimoku Cloud a reliable buy/sell signal?
No indicator is a reliable signal on its own. Ichimoku describes the current trend and where past price found support or resistance — it does not predict the future. It can lag and mislead in ranging or choppy markets, so it works best alongside other analysis and strict risk management. Most retail traders lose money.
Trading foreign exchange and contracts for difference (CFDs) carries a high level of risk and may not be suitable for all investors. Leverage can work against you as well as for you. You could lose some or all of your deposited funds; do not trade with money you cannot afford to lose. Past performance is not indicative of future results. Nothing on MT4Download.com is financial, investment, or trading advice. Consider your circumstances and seek independent advice if needed.