Ichimoku With Grading

Description:

This indicator is an enhanced version of the classic Ichimoku Kinko Hyo, designed to provide traders with an objective, quantitative assessment of trend strength. By breaking down the complex Ichimoku system into specific conditions, this script calculates a "Total Score" to help visualize the confluence of bullish or bearish signals.

How It Works
The core of this script is a 7-Point Grading System. Instead of relying on a single crossover, the script evaluates 7 distinct Ichimoku conditions simultaneously.

The Grading Criteria:

Tenkan > Kijun: Checks for the classic TK Cross (1 point if Bullish, -1 if Bearish).
Price vs TK/KJ: Checks if the Close is above both the Tenkan and Kijun (Bullish) or below both (Bearish).
Future Cloud: Analyzes the Kumo (Cloud) projected 26 bars ahead. If Senkou Span A > Senkou Span B, it is bullish.
Chikou Span: The Lagging Span validation. It compares the current Close to the Highs, Lows, and Cloud levels of 26 bars ago to ensure there are no obstacles.
Close > Tenkan: Checks immediate short-term momentum.
Close > Current Senkou Span A: Checks if price is above the current cloud's Span A.
Close > Current Senkou Span B: Checks if price is above the current cloud's Span B.
Total Score & Signals:

Maximum Score (+7): When all 7 conditions are met, a Green Triangle is plotted above the bar, indicating a strong trend confluence.
Minimum Score (-7): When all 7 conditions are negative, a Red Triangle is plotted below the bar.
Neutral/Mixed: Scores between -6 and +6 indicate a mixed trend or consolidation phase.
Dashboard Features
A table is displayed in the top-right corner to provide real-time data:

Score Breakdown: Shows the status of every individual metric (1 or -1).
Total Score: The sum of all metrics.
Distance to Tenkan %: This calculates the percentage distance between the Close and the Tenkan-sen.
Usage: Traders often use the Tenkan-sen as a trailing stop-loss level. This percentage helps gauge how extended the price is from the mean; a high percentage may indicate an overextended move, while a low percentage indicates a tight consolidation.
How to Use Ichimoku Lines
Beyond the grading system, this indicator plots the standard Ichimoku lines, which are powerful tools for price action analysis:

Support & Resistance: The Tenkan-sen (Conversion Line) and Kijun-sen (Base Line) act as dynamic support and resistance levels. In a strong trend, price will often respect the Tenkan-sen. In a moderate trend, it may pull back to the Kijun-sen before continuing.
The Kumo (Cloud): The edges of the current cloud (Senkou Span A and B) act as major support and resistance zones. A thick cloud represents strong S/R, while a thin cloud is easily broken.
Trend Identification: Generally, if the price is above the Cloud, the trend is bullish. If below, it is bearish. If the price is inside the Cloud, the market is considered to be in a noise/ranging zone.
Screenshots
1. Bitcoin Daily View:
Here you can see the dashboard in action. The grading system helps filter out noise by requiring all conditions to align before generating a signal.


2. Gold (XAUUSD) Example:
An example of a bearish confluence where the score hit -7, triggering a sell signal as the price broke through all Ichimoku support levels.


3. Euro (EURUSD) Mixed State:
This example shows a market in transition. While some metrics are positive (Green), others are negative (Red), resulting in a score of 4. This prevents premature entries during choppy market conditions.


Settings
Lengths: All Ichimoku periods (Tenkan, Kijun, Senkou B, Displacement) are fully customizable in the settings menu to fit your preferred timeframe or trading style (e.g., Doubled settings for crypto).
Disclaimer: This tool is for educational and informational purposes only. Past performance does not guarantee future results. Always manage your risk.