Senkou Span A

AAA

DEFINITION of 'Senkou Span A'

A component of the Ichimoku Kinko Hyo indicator that is used to measure momentum and future areas of support and resistance. Senkou span A is always plotted alongside Senkou span B and the area between the two lines is filled with shaded indicator lines, also known as the cloud, which is used by traders to predict levels of future support/resistance. Senkou span A is calculated by using the following formula:

Senkou Span A


INVESTOPEDIA EXPLAINS 'Senkou Span A'

The trend is deemed to be downward when Senkou span A is located below senkou span B. In practice, the indicator is most commonly used to predict the reversal of a current trend when the senkou spans cross over each other.

RELATED TERMS
  1. Ichimoku Kinko Hyo

    A technical indicator that is used to gauge momentum along with ...
  2. Indicator

    Statistics used to measure current conditions as well as to forecast ...
  3. Resistance (Resistance Level)

    A chart point or range that caps an increase in the level of ...
  4. Support (Support Level)

    The price level which, historically, a stock has had difficulty ...
  5. Tenkan-Sen

    The mid-point between the highest high and lowest low of a particular ...
  6. Kijun-Sen

    A component of the Ichimoku Kinko Hyo indicator that is primarily ...
Related Articles
  1. Bonds & Fixed Income

    Dragons, Samurai Warriors And Sushi On Wall Street

    From samurai to sushi, there's no denying the East Asian influence on investing terminology.
  2. Forex Education

    An Introduction To Ichimoku Charts In Forex Trading

    Discover how this high-flying application can be used in forex trading.
  3. Forex Education

    A Glance At An Equilibrium Chart

    The easy-to-use Ichimoku chart can tell you quite a bit in just one glance.
  4. Active Trading Fundamentals

    Minute-to-Minute Trade Signals for Today's Scalper

    Scalpers profit in the modern electronic environment by utilizing technical indicators that are custom-tuned to very small time frames.
  5. Chart Advisor

    These 4 Stocks are Hitting Technical Headwinds

    These up trending stocks are showing signs of weakness, indicating it may be time to sell.
  6. Forex Strategies

    How do I implement a forex strategy when spotting a Three White Soldiers Pattern?

    Learn two variations, one aggressive, one more conservative, of a forex trading strategy that can be used with the three white soldiers candlestick pattern.
  7. Technical Indicators

    How do I implement a forex strategy when spotting a Three Black Crows Pattern?

    Learn a common forex trading strategy traders use to capitalize on the bearish market reversal signal given by the three black crows candlestick pattern.
  8. Technical Indicators

    How are Three White Soldiers patterns interpreted by analysts and traders?

    Understand the basics of the three white soldiers candlestick pattern and how this bullish reversal signal is interpreted by analysts and traders.
  9. Trading Strategies

    How effective is creating trade entries after spotting a Three White Soldiers pattern?

    Understand the basics of the three white soldiers pattern and what conditions are optimal for creating effective trade strategies based on this reversal pattern.
  10. Trading Strategies

    What are the best technical indicators to complement the Time Segmented Volume (TSV)?

    Understand the function of the Time Segmented Volume, or TSV, indicator, and learn good technical indicators to use in conjunction with it.

You May Also Like

Hot Definitions
  1. Treasury Bond - T-Bond

    A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Treasury bonds make interest ...
  2. Weight Of Ice, Snow Or Sleet Insurance

    Financial protection against damage caused to property by winter weather specifically, damage caused if a roof caves in because ...
  3. Weather Insurance

    A type of protection against a financial loss that may be incurred because of rain, snow, storms, wind, fog, undesirable ...
  4. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
  5. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
  6. Federal Funds Rate

    The interest rate at which a depository institution lends funds maintained at the Federal Reserve to another depository institution ...
Trading Center