Hi. I just started learning the ichimoku kinko hyo indicator and it seems that the kumo cloud’s thickness is essential to determine the signal’s strength. How do you measure the relative thickness of the cloud to describe it as a “thin” or “thick” cloud? What figure do these description involve?
Would it be ok if I calculate the difference of the span A line and the span B line over 10 previous periods, then use those 10 data points to calculate the standard deviation? If the standard deviation result is higher than 2 then I could say the cloud is “thick” but if the standard deviation is less than 2 then I could say the cloud is “thin”.
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