QuantSchool: How to read a QuantWave forecast

Forecast Components

Each QuantWave forecast contains these key elements:

Step-by-Step Interpretation

1. Identify the Signal Direction

• BUY = Expecting price to rise
• SELL = Expecting price to fall

2. Check Price Parameters

• Compare current price to entry zone
• Calculate potential reward (target to entry)
• Calculate potential risk (entry to stop)

3. Evaluate Timeframe

• Short-term (1-5 days)
• Medium-term (1-4 weeks)
• Long-term (1+ months)

4. Assess Confidence Level

• Low (50-65%) - Higher risk
• Medium (66-79%) - Balanced
• High (80%+) - Strong conviction

Practical Example

Forecast: "BUY AAPL $150.20-$152.80, Target $165.00 (+8%), Stop $145.50 (-3%), 5-8 days, High Confidence (75%)"

Interpretation:

• Wait for AAPL to trade between $150.20 and $152.80 to enter
• Aim for $165.00 profit target (8% gain)
• Exit if price drops to $145.50 (3% loss)
• Trade should work within 1-2 weeks
• 75% chance of reaching target

Important Notes

• Always combine with your own analysis
• Manage position size according to risk
• Consider market conditions
• Review forecast updates regularly

QuantWave forecasts provide structured trading opportunities with clear parameters. By understanding each component, traders can make informed decisions while maintaining proper risk management.