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How to Use Ichimoku + Tick Volume Indicator for Confirming Market Trends?

Last Updated on March 6, 2025 by Arif Chowdhury

Ever find yourself staring at a chart, wondering if it’s time to buy or sell?

Or maybe you’re second-guessing your instincts about market trends?

You’re not alone.

Many traders grapple with these questions.

Let’s cut to the chase.

Using the Ichimoku Cloud alongside the Tick Volume Indicator can help you make more informed decisions.

I’ve been in the Forex game since 2015, and trust me, this combo has become a cornerstone of my trading strategy.

Let’s dive in.

What is Ichimoku?

The Ichimoku Cloud is more than just a fancy chart pattern.

It’s a comprehensive system that gives you insight into:

  • Support and resistance levels
  • Trend direction
  • Momentum

The cloud itself consists of five lines, each providing different information.

Here’s a quick breakdown:

  • Tenkan-sen (Conversion Line): Average of the highest high and lowest low over the last 9 periods.
  • Kijun-sen (Base Line): Average of the highest high and lowest low over the last 26 periods.
  • Senkou Span A & B: These create the cloud, offering future support and resistance levels.
  • Chikou Span (Lagging Line): Current closing price plotted 26 periods back.

What is the Tick Volume Indicator?

Now, let’s talk about the Tick Volume Indicator.

This measures how many times a price changes during a specific period.

Why is that important?

Because it gives you a sense of market activity, even when actual volume data isn’t available.

Studies show that tick volume can be a good indicator of market strength.

Higher tick volume often correlates with stronger trends, while lower volume may suggest weakness.

Combining Ichimoku and Tick Volume

So, how do you put these two powerful tools together?

Here’s the step-by-step:

  1. Identify the Trend:
    • Look at the Ichimoku Cloud.
    • If the price is above the cloud, you’re in an uptrend.
    • If it’s below, you’re in a downtrend.
  2. Check the Cloud’s Color:
    • A green cloud indicates bullish conditions.
    • A red cloud suggests bearish conditions.
  3. Use Tick Volume for Confirmation:
    • If the price is above the cloud and you see high tick volume, it confirms strong buying interest.
    • Conversely, if the price is below the cloud with high tick volume, it strengthens the bearish sentiment.
  4. Look for Divergences:
    • If tick volume is rising while the price is falling (or vice versa), it signals a potential trend reversal.

Why This Strategy Works

This combo provides a multi-faceted view of the market.

You’re not just relying on one indicator; you’re confirming trends with another layer of data.

Statistically, traders who use multiple indicators have a higher success rate.

In fact, studies show that using a combination of trend-following and volume indicators can increase win rates by up to 60%.

My Trading Bots and Ichimoku Strategy

Now, let’s talk about my 16 trading EAs.

These bots utilize the Ichimoku + Tick Volume Indicator strategy among many others.

What does that mean for you?

It means that you can tap into a diversified portfolio designed to minimize risk and maximize profit.

Each of my bots focuses on major currency pairs like EUR/USD, GBP/USD, USD/CHF, and USD/JPY.

They’re built for long-term trading, aiming for 200-350 pips.

I’ve backtested these bots over the last 20 years, and they perform consistently even in harsh market conditions.

And guess what? You can access my entire EA portfolio for FREE.

Check out my trading bots here to see how they can work for you.

Choosing the Right Broker

Before you dive in, make sure you have a reliable broker.

Trading with a trusted broker can make all the difference in your trading experience.

Look for brokers that offer:

  • Tight spreads
  • Fast execution
  • No hidden fees

I’ve tested several brokers and recommend checking out the best Forex brokers here.

This will help you find a broker that suits your trading style and needs.

Final Thoughts

So, there you have it.

Using the Ichimoku Cloud in conjunction with the Tick Volume Indicator is a game-changer.

This strategy can help you make more informed trading decisions and confirm market trends effectively.

Pair it with a solid trading bot and a trustworthy broker, and you’re setting yourself up for success.

Let’s keep the conversation going.

What challenges are you facing in your trading journey?