the daily chartist

My personal forecasting method

published 3 years ago

 In this article, I am going to show you whats my forecasting method, applied to all of the instruments in my watchlist. Before that, I am going to share with you what I have in my watchlist, at what time frame are my charts and what charting platform I am using. Of course don't take that as a permanent hint on how you can arrange your trading scheme, charting tools and forecasting method. This is my personal one as I am orientated to trend long-term trading and I look at the big picture. This is my trading style. You can take it as an orientating hint for your basic foundation on what and how you want to trade, but in the end, everything depends on you, your attitude and personal view which will shape out your own trading style and method, which you share as well. So first things first - the charting platform. 

 I've been using MetaTrader since day 1 of my trading adventures. I found it "the best" since then, but recently the technology was developed very well in regards to trading and charting platform and we are seeing more and more so-called web trading platforms. As much as I am fond to the MetaTrader I think it is lacking behind from the competitors in its charting tools and indicators list. For sure it is best in speed and reliability, but this strongly depends on the infrastructure of the Broker you are trading with. The platform is still broadly used from official institutions as well and the platform is usable since 1999. Also supports the MQL on basis of C language for creating trading bots. At the beginning of my blog, I have posted charts from MetaTrader 4 but from some time now I have transitioned to TradingView. The free basic profile supports what you would need in your common forecasting, but if you would like to go further you will need to subscribe to the different plans they offer. The charting platform gives an enormous list of indicator, charting tools, economic indicators, forecasting tools and all sorts of goodies to spam your chart with. Also, you can download the app on your Android or iPhone and all of your chartings is synced directly between the devices so you don't lose track of your forecasting or you want to brag about your amazing Head and Showders pattern you've discovered in EUR/USD to your friends. 

 My watchlist. It has been created for THE MOST used and watched instruments from me (that's why its a watchlist). The watchlist itself is in TradingView where you can add and remove any instrument you would like. Things that I am watching: BTCUSD, ETHUSD, USDJPY, USDCHF, USDCAD, EURUSD, GBPUSD, AUDUSD, NZDUSD, XAUUSD, SILVER, XCUUSD, PALLADIUM, PLATINUM, USOIL, UKOIL, NATGASUSD, DAX, SPX, DJI, HSI, NFLX, TWTR, FB, TSLA, AAPL, GOOGL, DXY, VIX, USDTRY, USDMXN, USDARS, USDBRL, USDRUB, EURBGN.

 What my forecast consists of. I am a long-term investor-style orientated trader and I look at the daily chart to spot the long-term trend and look out for a possible trend reversal. Also, I am looking at price action, patterns, Fibo levels, DeMarker (8), EMA50 and EMA200. In the example with AUD/USD on the daily chart, you can see my "drawings" for the Aussie. I am looking for any possible in-trend trading as well from any flags or wedges. Moving average crossovers as well.  Fundamentals are something I watch closely as well. I am taking in regards any news and economic data. I am filtering my economics calendar (you can use the TradingView or the ForexFactory) to only the events in yellow or red which has a significant impact on the markets. I am watching only fundamentals from Canada, EU zone overall and separately - Germany and the UK. I don't check anything South from Germany. Japan and the US economies. 

 This is the charting thingy I do. Brought down to something clean, easy to read and productive. If you found this useful, of course, please share it to whatever social media you are using and you can send me an email to what is your trading or charting method and if you have further questions ask as well. 

 Remember... Eveything is subjective in trading. Everything.