The Ichimoku + Median Price Strategy for Refining Entry and Exit Points

Last Updated on March 1, 2025 by Arif Chowdhury

Ever feel like you’re always a step behind the market?

You see the perfect setup, but by the time you enter, the opportunity’s gone.

Or worse – you enter at what seems like the right time, only to watch the market immediately reverse against you.

I’ve been there too.

As a seasoned Forex trader since 2015, I’ve faced these exact challenges.

That’s why I developed something better.

What Makes Ichimoku + Median Price Different ๐Ÿ“Š

This isn’t just another indicator combination.

It’s a refined methodology that solves the #1 problem most traders face: timing.

Did you know? According to a study by the Financial Conduct Authority, 82% of retail forex traders lose money, with poor entry/exit timing being a primary factor.

The power lies in the convergence of two distinct perspectives:

Ichimoku Cloud – providing dynamic support/resistance zones and trend direction

Median Price – cutting through market noise to reveal true price equilibrium

The Strategy Fundamentals ๐Ÿ’ก

Let’s break this down into actionable components:

Entry Signals

Strong Buy Signal:

  • Price above the Kumo (Cloud)
  • Tenkan-sen crosses above Kijun-sen
  • Median Price (H+L)/2 confirms upward momentum
  • Chikou Span above price from 26 periods ago

Strong Sell Signal:

  • Price below the Kumo
  • Tenkan-sen crosses below Kijun-sen
  • Median Price confirms downward momentum
  • Chikou Span below price from 26 periods ago

Exit Principles

Your exit should be systematic, not emotional:

  • Take profit when price reaches the opposite edge of the Kumo
  • Place stop loss below/above the recent swing low/high
  • OR exit when Median Price crosses back through the Tenkan-sen

Why This Works When Other Strategies Fail ๐Ÿ”

Most traders use single-dimension analysis.

They look at price OR indicators OR patterns.

This method creates a multi-dimensional confirmation system.

A recent Journal of Trading study found that strategies using complementary indicator combinations outperformed single-indicator approaches by 37% on average.

The Ichimoku provides the broader market context.

The Median Price adds precision to your timing.

Together, they filter out false signals that would normally trap you.

H4 Timeframe: The Sweet Spot for This Strategy โฑ๏ธ

Why H4 charts specifically?

Lower timeframes = too much noise and whipsaw.

Daily charts = missed opportunities and wide stops.

H4 provides the perfect balance for capturing 200-350 pip movements.

This is exactly why my trading bots are optimized for this timeframe.

My Trading Bot Implementation ๐Ÿค–

Each bot uses variations of the Ichimoku + Median Price strategy among dozens of other approaches.

The results?

Consistent performance across EUR/USD, GBP/USD, USD/CHF, and USD/JPY.

My portfolio distributes 3-4 uniquely programmed bots across each pair.

This creates multiple layers of diversification:

  • Within each currency pair
  • Across different pairs
  • Through varied entry/exit mechanisms

The best part? I’m currently offering this entire EA portfolio for FREE.

Customizing the Strategy for Your Trading Style ๐Ÿ› ๏ธ

Not everyone trades the same way.

You can adjust this framework by:

  1. Tweaking Ichimoku settings (9, 26, 52 is standard, but try 12, 24, 48 for less lag)
  2. Testing different Median Price calculations:
    • Standard: (High + Low) รท 2
    • Weighted: (High + Low + Close + Close) รท 4
  3. Adding confirmation filters:
    • Volume spikes at crossovers
    • RSI alignment with trend direction

Broker Selection: A Critical Component โœ…

Even the best strategy fails with the wrong broker.

Poor execution, slippage, and wide spreads can destroy your edge.

I’ve tested dozens of brokers to find the ones that complement this strategy.

Putting It All Together ๐Ÿ”„

This strategy isn’t just about indicators – it’s about developing a complete trading system.

  1. Identify the trend using Ichimoku Cloud
  2. Wait for Median Price confirmation
  3. Enter with precise timing when all conditions align
  4. Manage your trade with predetermined exits
  5. Rinse and repeat with discipline

Remember: The market rewards patience and punishes impulsivity.

Implementing this strategy consistently has transformed my trading.

The difference is in the execution.