KIJUN SEN
It represents the medium term movement for price. Therefore, it caters to a majority of the traders in the market. The Kijun Sen is one of the key indicators for the Ichimoku system. Many Ichimoku strategies focus around this one indicator.
The fornula for the Kijun Sen is:
(Highest High + Lowest Low)
--------------------------------------- for 26 Periods
2
Here are the things to note about the Kijun Sen:
Sentiment
• Bullish: If price is above the Kijun Sen
• Bearish: If price is below the Kijun Sen
- The Kijun Sen should be pointing in in the same direction as the trend. The steeper the angle, the greater the trend.
- When the Kijun Sen is flat, it indicates that the price is consolidating and not trending.
- The Kijun Sen is a key Support/Resistance value. When price crosses the Kijun Sen, it is a major accomplishment because it broke a major Support/Resistance value
