In the previous post we talked briefly about Three Gold Cross Signals. So what exactly is it, today we will find out. Three Gold Cross Signals it is a collection of 3 conditions following an uptrend.
1. The Tenkan sen breaks above the Kijun sen
2. Then the Chiko span breaks above the candlestick
3. And then, The price breaks out of the Kumo.
Be careful, that the price breaks out of the Kumo does not mean it is "Three Gold Cross Signals". It happens after the Tenkan sen breaks above the Kijun sen, the Chiko span breaks above the candlestick, and then, when the price breaks out of the Kumo, it’s called "Three Gold Cross Signals". When ''Three Gold Cross Signals" happens in the market, usually both the the Tenkan sen breaks above the Kijun sen and Chiko span breaks above the candlestick are already happening as below chart. But often times it's misunderstood that Kumo breakout itself is "Three Gold Cross Signals". In other words, even when the price breaks Kumo
Usually, Three Gold Cross Signals happens below order.
1. Gold cross of Kijun sen and Tenkan sen
2. Gold cross of Chiko span and Candles
3. Kumo breakout
This is the basic order when market changes the momentum from bear to bull. That means, if the order changes, you will know that's not in an ordinary price movement.
Next post we will continue with "Three Dead Cross Signals"
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