Ichimoku cloud indicator - tool for swing trading

This theory is developed by Ichimoku Sanjin,a Japanese journalist. This technical analysis tools  is used to judge the support & resistance level & the ongoing trend. It is better suited for swing trading.
*How to calculate ichimoku cloud-
There are total 5 indicator lines used in this chart.
1. Conversion line(kenken sen)  = 9-period high + 9-period low /2
The highest & lowest values traded over previous 9-days are taken & then it's average is taken.
2. Base line(kijun sen) =26-day high + 26-day low /2
The highest & lowest values over previous 26-days are taken & then average is taken.
3. Leading span A (senkou span)  =conversion line + base line /2
4. Leading span B(senkou span)  = 52-period high + 52-period low /2
5. Lagging span (chikou  span) = close plotted 26-period past
That means today's closing price is projected back 26 days on the chart.
The space between the lines leading span A & leading span B is called cloud.
When the leading span A  line is above leading span B  line,the colour of the cloud is green &
When the leading span A line is below leading span B line, the colour of the cloud is red.
*How to use Ichimoku cloud -
1. Cloud can be treated as support & resistance for the stock price.
2. When cloud is thin, support or resistance for a particular stock is thin & may be broken easily,
On the other hand if cloud big, support or resistance is strong
3. When cloud remains horizontal, it indicates stock price will remain sideways.
4. When cloud shows upward direction, it indicates bullish trend(uptrend),if cloud shows downward direction, it indicates bearish trend(downtrend).
5. When stock price remains above the cloud for certain period, it shows strong bullish trend.
6. When stock price remains below the cloud for certain period, it shows strong bearish trend.
7. If the stock price remains within the cloud, it indicates ongoing trend is going to continue.
* Ichimoku cloud strategy -
1.When leading span A line crosses from below to leading span B & proceeds above,it is buy signal.
2. Conversely, when leading span A line crosses from above to leading span B & falls below it is sell signal.
3. When conversion line crosses base line from below & proceeds upward, it's strong buy signal, whether stock price is above or below the cloud.
4. When conversion line crosses & drops below base line, it's strong sell signal.
Still some signals are observed for buy & sell (entry & exit).
1. If the price is above the cloud, it is treated as bullish signal.
2. If price falls below the cloud, it is treated as bearish signal.
3. If the cloud is green, that is leading span A is above leading span B line, it confirms uptrend.
4. If the cloud is red, that is leading span A is below leading span B, it confirms downtrend.
5. If the price is above base line, it confirms uptrend.
6. If price falls below the base line, it confirms downtrend.

The above figure shows the graph of Ceat tyre in year 2018.Ichimocu graph is plotted on the stock price chart.
Initially, when conversion line(blue line) crosses base line(red line)  & proceeds above a strong uptrend occured,green cloud formed after so many candles.
Green cloud confirmed the uptrend, but it could not sustain so much & downtrend occurred in the presence of green cloud.
So instead of green or red cloud, conversion line & base line should be observed carefully for swing trading.
Green or red cloud occur latter, before which trend starts.cloud doesn't give any buy or sell signals, just they confirm the trend.
Cloud can tell support & resistance.
Another thing you may observe, the uptrend sustained uptill the base line remained below the price chart,hence it may be treated as sell signal when base line crosses price chart & proceeds above.