Forex Ichimoku – Daily Aussie Kijun-Sen Break – Aug 27th

Selling off 8 of the last 12 days, the Aussie has been hemmed in by the Tenkan since the 14th of this month which is quite unusual considering its been in a solid uptrend since the beginning of June.  I commented about this last week on how I suggested a break below 1.0400 and the channel bottom (held in place since June) will likely break to the downside.

This happened yesterday and today for the first time, we have a daily break and close below the Kijun-Sen. This, combined with the tenkan pressure, along with the chikou span entering the price line are all short term bearish also suggesting the momentum is continuing to add to the downside.

Weak intraday rallies up to the daily tenkan can offer sell signals for day traders, while bulls will have to wait till 1.0330 (swing high Jul. 5th) or possibly a bounce off the kumo around 1.0254 before adding any longs as the short term downside pressure is in tact.

ichimoku forex kijun break chikou tenkan aug 27th

For those wanting to learn how to trade the Ichimoku Cloud, along with lifetime access to the Ichimoku traders forum, using rule-based systems, make sure to check out my Advanced Ichimoku Course.

Global Market Commentary:
Volumes were below normal today with the UK holiday but stocks in Europe held while US indices were mostly flat with investors believing likely stimulus is on the cards care of your favorite CBs who love nothing better than propping up failing and zombie banks (i.e. Dexia requesting their third which they ‘promise’ will be their last).

Oil was a little more volatile with hurricane Isaac heading into the Gulf of Mexico.

The main thing on deck is this Friday’s Jackson Hole meeting which investors globally will have their eyes on.  Gold shed about $7 falling towards $1663 losing ground for the 2nd time in 9 days while Silver formed its first losing day in 6.

Upcoming Economic Announcements:

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Buddhist, Trader and Philanthropist

I'm Chris Capre, Founder of 2ndSkiesForex. I help traders of all levels change the way they think, trade and perform. As a professional trader, I specialize in trading price action. As a teacher, my passion lies in showing you how to re-wire your brain for successful trading. Want to improve your edge right now? Visit my Price Action Course page.

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  • Charles


    It should bring a smile to your face, to know I read this first before posting in the course.

    • Thanks mate – it certainly does, and great having you on the course :-)

      Kind Regards,

  • Ricky

    I thought in one of your videos on ichimoku you said you didn’t like using the chikou because you found no use for it?

    • Hello Ricky,

      About 5 years ago I did not feel using the chikou was necessary for trading ichimoku. However, upon re-evaluation, I consider it to be useful in some ways so am incorporating it now.

      Hope this clarifies it.

      Kind Regards,

      • Ricky

        I actually looked at ichimoku after watching one of your videos and so when i first began to use it i deleted the chikou just like you did on yours. then i started seeing and hearing people talk about how to use the ichimoku and I felt it could really be a good strategy to incorporate as a tool. can’t wait to get on board to see how you really use it any way. still assimilating the Advanced Price Action course with all the proprietary techniques. its amazing.
        when I start really pipping y’all are gonna hear about it.
        kind regards