Using the Market Forecast Tool for Short-Term Stock Trades | Getting Started with Technical Analysis

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Trader Talks: Schwab Coaching Webcasts

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@roc3429 9 ай бұрын

Often after I ponder something, in this case, The Market Forecast indicator, Trader Talks presents a lesson that addresses the issue. And, as is your style, the lecture is most informative and the erudition is tops! Thank you, Cameron May, for the hard work that goes into making this lecture!

@tradertalkswebcasts 9 ай бұрын

Glad to hear that I helped with your questions, and it's always my pleasure to deliver these webcasts for you. Thanks for watching! ^CM

@ub7943 4 ай бұрын

watched 3 videos from different presenters. I can actually understand Cameron's explanation and use this indicator with ease. He focuses on the green line and it finally came to me on how this MarketForcast is constructed. A good teacher makes a world of differences.

@tradertalkswebcasts 3 ай бұрын

Thanks for the feedback! I really do appreciate it, and I'm glad my video was helpful. See you in the next one! ^CM

@DaleFawkes 11 ай бұрын

You are a great presenter and go at a nice speed for us beginners. Thank you very much

@tradertalkswebcasts 11 ай бұрын

Glad you enjoyed it! ^CM

@jrichardson2308 11 ай бұрын

I just listened to your webcast and immediately subscribed. Thanks.

@tradertalkswebcasts 10 ай бұрын

Excellent! Welcome aboard! And it's always my pleasure to do these webcasts. See you in the next one! ^CM

@vivianwagner5916 11 ай бұрын

Ken Rose wrote an excellent study to mark the clusters when all three are below 20 and when intermediate goes above 20 . He also suggests when green line above 80 on spx then consider overall market is Bull.

@tradertalkswebcasts 10 ай бұрын

Ken mentioned this to me. He's great with creating those scripted tools. Thanks for making sure I'm kept in the loop, though! ^CM

@cdgray6056 10 ай бұрын

Hello, where can we find the Ken Rose study??

@sjsphotog 5 ай бұрын

where can we get that script?

@edlee38 6 ай бұрын

If all 3 lines cross above 80 is that also a potential sign to sell

@tradertalkswebcasts 5 ай бұрын

Some traders do use the indicator in just that way; however, it has been my experience that this approach does tend to generate a lot of premature signals in a persistent bullish market. In any case, thanks for watching! ^CM

@TraderDee747 6 ай бұрын

Can the dashed line drawn at 20 be saved as a default, so that the line does not have to redrawn each time a new ticker is entered?

@tradertalkswebcasts 6 ай бұрын

This can be done with a custom script, but you can also confirm each oscillator's current numeric value with a quick glance to the upper left-hand corner of the Market Forecast study's display window. I hope this helps, and thanks for watching! ^CM

@edlee38 6 ай бұрын

Custom script does not allow permanent lines at 20 & 80. Please assist

@TraderDee747 5 ай бұрын

@@tradertalkswebcasts Do you have the custom script?

@peterkoval 5 ай бұрын

Would have been nice to hear more about the significance of the 20 line, and why don't they add the line option, so you don't have to draw it in?

@tradertalkswebcasts 5 ай бұрын

Thanks for the suggestion! As for having an automated 20 line, I only draw that in to provide a visual illustration for my audience; it's not actually necessary for the usage of the indicator. For example, when I use it, I confirm the precise location of each of the oscillators with a quick glance at their numerical values, which are displayed to the second decimal point in the left corner of the study pane. In any event, thanks for watching! ^CM

@peterkoval 5 ай бұрын

@@tradertalkswebcasts But what does the 20 represent and why is 20 chosen over another number?

@loiseriksen6273 2 ай бұрын

Cameron what was the significance of the 20 number overlay of the Market Forecast indicator. Thanks

@tradertalkswebcasts 2 ай бұрын

I believe you're referring to the portion of the demonstration that began around 13:20. If so, that area represents the "oversold" range for all three oscillators, and a trader commonly looks to see if all three happen to "cluster" below 20 at the same time. This is sometimes used as an entry signal, although it is not a guarantee of performance, of course. I hope this helps, and thanks for watching! ^CM

@zlatkohabibovic4755 10 ай бұрын

Hey Cameron, love the study, wondering if that horizontal line 20 can be as an default , which means if I change the symbol that 20 is there that I don't need to plot again?! I tried everything but seems to me if I change the symbol every and each time I need to enter 20 line level !!! Please help me with that !!

@tradertalkswebcasts 10 ай бұрын

To clarify, this line does not usually appear by default on the chart. I drew it in only as a visual reference point. To confirm precise oscillator values, one can simply hover over the day in question and glance at the numerical values in the upper left of the indicator window. I hope this helps, and thanks for watching! ^CM

@sjsphotog 5 ай бұрын

Fantastic class CM. I will definitely need to try this one out

@tradertalkswebcasts 5 ай бұрын

So glad you enjoyed it. Thanks for watching, and I'll see you in the next one! ^CM

@khurshidkhan7669 10 ай бұрын

What time on Tuesdays is your webcast? I can attend if it after 6:00PM Eastern time, otherwise I will look for it later.

@tradertalkswebcasts 10 ай бұрын

My Tuesday series is at 2:00 ET, but the recordings work, too. In any event, thanks for watching! ^CM

@JC-mg8mr 10 ай бұрын

Great presentation and have used it a couple of times to buy, Comcast, STT, GILD and I shall see how it works out. I think it is a great tool to give you some investing timing on stocks you want to own. I am wondering if there is a way to set the program to identify the cluster formation in a given set of stocks.

@tradertalkswebcasts 10 ай бұрын

Good luck with those trades! And as for an automated system for identifying clusters, Ken Rose covered just that topic in this video: kzbin.info/www/bejne/jYrEl4ucmbikoKc. Thanks for watching, and enjoy Ken's webcast! ^CM

@redfern7622 10 ай бұрын

great presentation. can i set up an "alarm" that send me a txt when it hit a cluster ?

@tradertalkswebcasts 10 ай бұрын

This could be done with a custom script. You may want to check with Ken Rose to see if he has something along those lines. ^CM

@BrianWerner 9 ай бұрын

Is this best used with the 1 day 1 year chart? Google just showed up with all 3 lines below 20 on March 6th, but if I switch to different time frames then the 3 lines are no longer below 20.

@tradertalkswebcasts 9 ай бұрын

"Best" is a loaded term, but this tool can be conceptually applied to any timeframe. No timeframe is a guarantee of performance on any given trade, of course. And you're correct: Changing timeframes changes the construction of the indicator, so signals will be faster on shorter timeframes, and slower on longer. I hope this helps, and thanks for watching! ^CM

@mikegregory7323 11 ай бұрын

Great webcast Cameron. I plan to include this MarketForecast indicator into my analysis. Thank you!

@tradertalkswebcasts 11 ай бұрын

Always my pleasure! ^CM

@howardstory1391 10 ай бұрын

No one can forecast the market. To call stochastic a market forecaster is irresponsible beyond belief. I traded professionally for 25 years. It’s not a game and you will lose your $ listening to stuff like this. Retail investors are the last to know what’s happening in the market. Always. You’ll be subject to 10% losses in a matter of minutes if you’re not sitting in front of a screen 7 hours per day.

@mikegregory7323 10 ай бұрын

Wow. @@howardstory1391

@jeffmiller1819 5 ай бұрын

Does it matter what time frame chart you use? On a shorter time frame chart you may get more indications of trade entry. Any thoughts?

@tradertalkswebcasts 5 ай бұрын

Good question, and it certainly can matter greatly! In general, a trader will place the greatest emphasis on the timeframe of chart that most closely suits their preferred trade approach (some traders prefer rapid signals and shorter trade timeframes so they'll tend to use shorter charts, while others prefer fewer and slower signals, and they will thus tend to favor longer chart timeframes.) This decision is ultimately left to the trader's personal discretion. I hope this helps, and thanks for watching! ^CM

@khurshidkhan532 10 ай бұрын

Where can I find a listing of stocks that offer daily Option. The only one I use is SPX.

@tradertalkswebcasts 10 ай бұрын

Happy to clarify! Currently, no individual stocks offer daily options expirations. Rather, this is limited to just a few of the major U.S. indices (S&P, Russell, Nasdaq) and their ETFs. I hope this helps, and thanks for watching! ^CM

@FLBeachBean 9 ай бұрын

Hi Cameron - Great Video! Interesting indicator. Can you scan stocks for a market forecast scenarios?

@tradertalkswebcasts 9 ай бұрын

Ken Rose delivered a webcast that addresses precisely this function: kzbin.info/www/bejne/jYrEl4ucmbikoKc. Enjoy!

@sjsphotog 5 ай бұрын

@@tradertalkswebcasts thanks for the link

@salpriorello2202 8 ай бұрын

Cameron, When I added this study and followed along through the video, initially my momentum line was green and intermediate line was red. I changed them, but why would my settings present them incorrectly? My concern is other studies I add may also have the wrong colors when I initially add them. Thanks!

@tradertalkswebcasts 7 ай бұрын

You may want to call Support at 800-435-4000 to walk through your settings with you. I'm afraid I'd only be guessing what the cause might be. But in any case, thanks for watching! ^CM

@jldavid47 11 ай бұрын

Your TSLA example shows the danger of using this indicator just before earnings. That stop loss order would have been filled at about 190 resulting in a 30 point loss rather than a 16 point loss. It's probably best to use options if entering based on this signal if close to an earnings announcement.

@tradertalkswebcasts 10 ай бұрын

Yep, stop orders are never a guarantee of a specific execution price, and earnings can certainly put an exclamation point on that risk. How a trader chooses to handle this is, of course, left to their preference. But in any case, thanks for the feedback, and thanks for watching! ^CM

@andys615 11 ай бұрын

Wow..this looks really cool! thanks for the video!

@tradertalkswebcasts 11 ай бұрын

My pleasure! ^CM

@mathowle1109 4 ай бұрын

I might be totally off in this but, would there be any advantage to selling an at the money put or a put that is just inside the money at the formation of a cluster? Then if assigned the shares selling a call at the previous peak? Just sounding this out.

@tradertalkswebcasts 4 ай бұрын

Conceptually, that would be consistent with the typical interpretation of both technical signals. Of course, no signal is a guarantee of performance on any given trade. Thanks for watching! ^CM

@pravinmistry4377 10 ай бұрын

Excellent presentation nicely articulated! I was wondering if this indicator can be used for selling (like over bought condition) when the cluster occurs above 80?

@tradertalkswebcasts 10 ай бұрын

Conceptually, yes, although it has been my experience that failed signals are common in a persistently bullish market. And as always, performance is never guaranteed on any particular trade. ^CM

@johnnguyen1960 11 ай бұрын

Thanks for sharing great tool

@tradertalkswebcasts 11 ай бұрын

Always my pleasure. Thanks for watching! ^CM

@jerzeysk8boarder 11 ай бұрын

Has this indicator been backtested? If so where can I see the info thanks

@tradertalkswebcasts 11 ай бұрын

I don't have data that is publicly available, but a trader can quickly test just about any new indicator using historical charts on thinkorswim. And in any case, thanks for watching! ^CM

@Christian_8181 11 ай бұрын

wonder if there's a watchlist script to add a column colored cell to indicate when a stock is in a

@tradertalkswebcasts 11 ай бұрын

No such script is currently available, but I'll try to make that a part of future webcasts on the topic. Thanks for watching! ^CM

@sharongrimm-h2j 10 ай бұрын

is it safe to say that you could trade several of the crossover points as well????

@tradertalkswebcasts 10 ай бұрын

Some traders do just that, but of course, no signal represents a guarantee of performance on any given trade. And in any event, thanks for watching! ^CM

@bobcurran4236 11 ай бұрын

Cameron, i am on street edge now and iam able to have 3 screens open from edge,,1-positions--1-options -another showing hi volume poppers, how do i set that or duplicate that on TOS-i micro scalp SPY, with calls speed is important. may do 50-100 trades in hour..ty

@tradertalkswebcasts 11 ай бұрын

Glad to help! To accomplish this, you'll need to look for the "Detach" function in the "Show actions menu" (looks like three dots and three dashes) for the field you'd like to separate from the thinkorswim platform. In brief, this allows you to pop out a field within thinkorswim and let it operate as its own window. To see what I'm talking about, go to any "Show actions menu" icon on thinkorswim and select "Detach" (if available.) You'll get the idea quickly from there. I hope this helps, and thanks for watching! ^CM

@Bobbothom 11 ай бұрын

Waiting for response if this indicator works on other time frames? Thank you.

@tradertalkswebcasts 11 ай бұрын

I hope you saw my last reply, but yes, as with most technical indicators, this one can conceptually be applied to any timeframe. Of course, performance is not guaranteed, regardless of indicator or timeframe. In any event, thanks for watching! ^CM

@ramz5129 11 ай бұрын

As always thumbs up

@tradertalkswebcasts 11 ай бұрын

Thank you! ^CM

@BT-wn7ok 11 ай бұрын

Which time frames would be best for this indicator ? Thanks.

@tradertalkswebcasts 11 ай бұрын

Happy to clarify! This indicator - like most technical studies - can theoretically be applied in any timeframe. Of course, performance is not guaranteed, regardless of timeframe. I hope this helps, and thanks for watching! ^CM

@RickJonesM 10 ай бұрын

Do I have to start with zero indicators? I dont sww the 3 lines show up. I currently have kelter set up. I don't even see the momentous etc

@tradertalkswebcasts 10 ай бұрын

Two quick suggestions: 1. Make sure you're using thinkorswim Desktop and not thinkorswim Web. 2. Confirm that you've selected "MarketForecast" from the Studies menu. I hope this helps! ^CM

@marcoescobar4354 10 ай бұрын

can you use scan tool to filter stocks that have low Intermediate mark the clusters when all three are below 20? I'm using the web TOS

@tradertalkswebcasts 10 ай бұрын

Ken Rose has a script for this purpose, but it is for thinkorswim Desktop. I'm not aware of a scan that will find clusters on Web. I hope this helps, and in any event, thanks for watching! ^CM

@Chavecito 7 ай бұрын

@@tradertalkswebcasts Mr. Cameron, do you happen to have the link for the market forecast scan script? that would be real awesome

@RickJonesM 10 ай бұрын

I dont get 3 lines. The 1st box of 3 lines (that I donthave) starts with blue, not red. I cannot figure it out.

@tradertalkswebcasts 10 ай бұрын

If my other suggestions didn't address the issue, you may need to call Support at 800-435-4000. Thanks! ^CM

@jerrysegalla8597 9 ай бұрын

Thank you for this information. It seems to me that using clusters as an entry for a stock like AIG that has had only one cluster and a near miss would be much more reliable than using a cluster on a stock like TSLA which has had six or seven clusters this year. Can you confirm that the more clusters a stock has during the year, the less reliable clusters become as an indicator?

@tradertalkswebcasts 9 ай бұрын

Happy to clarify! Some traders actually see frequent clusters as a sign of persistent technical weakness in a stock, and may then first seek to confirm a stronger uptrend before looking to the next bullish cluster for entry signals. In any event, no technical signal is a guarantee of performance on any given trade. I hope this helps, and thanks for watching! ^CM

@jerrysegalla8597 9 ай бұрын

Thank you very much.@@tradertalkswebcasts

@LPVYouTube 11 ай бұрын

Does the indicator work for any rtimeframe? If not, what timeframe is best? Thank you

@tradertalkswebcasts 11 ай бұрын

@richardnicely5573 10 ай бұрын

In my scan I use two different time frames. I first start by filtering out clusters using “day” to find places where all three indicators are below 20 on the exact same day. Then I look for only the intermediate indicator to be higher than it was the day before. Next I also look for ones that the intermediate is still rising within that same day using a 5 minute time frame. Once something pops into my watchlist using this scan…first thing I do is look at it from 1yr (day) then 6 months (day) and then I look at Today (5 minutes) If it was clearly at rock bottom the day or two earlier but is on the rise now….its a good candidate and I start researching the fundamentals. One thing I also doing my scans is i exclude all pharmaceuticals. I don’t care how good a stocks fundamentals look…I wouldn’t touch any pharmaceutical stock with a 10’ pole right now.

@sjsphotog 5 ай бұрын

@@richardnicely5573 can you share your scan script?

@rickaz80 11 ай бұрын

Well done.

@tradertalkswebcasts 11 ай бұрын

Glad you liked it! ^CM

@Kenayi22 10 ай бұрын

Hi Cameron, I have been struggling to create a scan with the Market Forecast cluster signal with zero luck. Can you help please?

@tradertalkswebcasts 10 ай бұрын

I am not aware of a scan with that function, but Ken Rose has created a script that may be useful. I see that you've asked this question of him, so his response should address this. In any case, thanks for watching! ^CM

@jamalshirazi9170 11 ай бұрын

If you can predict the uptrend cluster at the 20 trendlines, can we also predict the downtrend cluster at the 80 or 90 trendlines?

@tradertalkswebcasts 11 ай бұрын

Great question! While Market Forecast bearish reversals are theoretically possible as a signal, some traders have noted that these tend to be far more common, and possibly generate a greater number of failed signals. In any event, thanks for watching! ^CM

@wendykelman7837 10 ай бұрын

does vortex indicator not do the same

@tradertalkswebcasts 10 ай бұрын

The Vortex indicator is used by some traders for short-term trade planning, but it does not necessarily generate the same signals as the Market Forecast tool. I may need to add a detailed review of the Vortex to my list of future webcast ideas. In any case, thanks for watching! ^CM

@kolaa.4502 11 ай бұрын

Dr. May, would it be possible to re-present the marketforecast webnair again? thanks, Kola

@tradertalkswebcasts 11 ай бұрын

I'll certainly cover it again sometime in the future. In the meantime, I hope this video archive is helpful. Thanks for watching! ^CM

@DrSteveIB 11 ай бұрын

So, how does ThinkorSwim plan to use AI to suggest trades?

@tradertalkswebcasts 11 ай бұрын

Very sorry, but I do not have insight into what sorts of tools may or may not be in development for the platform. But in any case, thanks for watching! ^CM

@Vested_Investor 11 ай бұрын

I appreciate your video greatly! Unfortunately, I'm experiencing challenges building a scanner around it. How can the concept in this video be codified into a ThinkorSwim Scanner? The first three statements of the following script work as expected: MarketForecast()."Momentum" is less than or equal to 20 and MarketForecast()."NearTerm" is less than or equal to 20 and MarketForecast()."Intermediate" is less than or equal to 20 and MarketForecast()."Intermediate" from -1 bars ago is less than MarketForecast()."Intermediate. But not the last line that qualifies for only returning tickers where MarketForecast Intermediate's current value is greater than the prior candle. Kindly advise please.

@tradertalkswebcasts 11 ай бұрын

You may want to check with Ken Rose on this. Scripting is not one of my particular areas of strength. In the meantime, thanks for watching! ^CM

@ayousef11 10 ай бұрын

Hi, I had the same question in mind. Please let me know if you had come across a script that automates the process. Thanks in advance

@richardnicely5573 10 ай бұрын

I did this and it works great for me. I actually put two conditions on mine. 1.) When MarketForecast.Intermediate is greater than MarketForecast.Intermidiate offset 1 within last 3 bars. using daily basis. 2.) Same as above but using 5 minute basis instead of day. This gets me all stocks where all three indicators are below 20, but Intermediate is not only higher than it was the previous day, but is currently climbing within the same day.

@ElCidPhysics90 11 ай бұрын

Watching this a few weeks after the fact and have one issue. The pip of the presenter is blocking the action on the charts. Not sure there’s a need to see the presenter the whole time.

@tradertalkswebcasts 10 ай бұрын

Good feedback! I'll pass that along. In the meantime, thanks for watching! ^CM

@chriscoco547 11 ай бұрын

I understand that the indicators track “momentum “. It would be good to establish what momentum means. I heard the terms momentum and price used somewhat interchangeably.

@tradertalkswebcasts 11 ай бұрын

Happy to clarify! "Momentum" might be generally interpreted as the comparative speed with which price is advancing or declining (for example, a stock may be rising, but at a slower pace than it was previously), versus merely observing whether price is merely advancing or declining. But in any event, performance is not a guarantee, regardless of any indicator's interpretation of price, momentum, or other variable. I hope this helps, and thanks for watching! ^CM

@nguyenphan-wf4xh 11 ай бұрын

PLEASE BUILD A SCANNER FOR THIS INDICATOR

@tradertalkswebcasts 11 ай бұрын

I do plan to do that for a future webcast. In the meantime, thanks for watching! ^CM

@WenCrash 11 ай бұрын

Why not make it easier to find the clusters by programming a dot to appear on both the MFI and the chart?

@tradertalkswebcasts 11 ай бұрын

Solid suggestion, and that can actually be done via a function on the platform known as thinkScript. In general, our chart tools are not designed to generate automated trade signals, as these might be misinterpreted as a recommendation. I hope this helps, and thanks for watching! ^CM

@srinidamaraju2008 10 ай бұрын

Please select a different color than green/red for those of us who are color blind :)

@tradertalkswebcasts 10 ай бұрын

Great point! Thanks for watching! ^CM

@premierleague1862 11 ай бұрын

Heads up: the white screen background is really straining my eyes. Please use the traditional dark background for future presentions if possible. Thanks...

@tradertalkswebcasts 11 ай бұрын

Thanks for the suggestion! ^CM

@weiminyang7206 11 ай бұрын

Good presenter. But too many words that are not directly related to the topic!

@tradertalkswebcasts 11 ай бұрын

Thanks for the feedback and thanks for watching! ^CM

@FrankGirardi 11 ай бұрын

no i am not familiar with it.

@tradertalkswebcasts 11 ай бұрын

I hope this webcast was enlightening, then. Thanks for watching! ^CM

@howardstory1391 10 ай бұрын

All these trading tips have been so profitable for Cam he’s still working at Schwab 8 to 5.😊

@tradertalkswebcasts 10 ай бұрын

Whatever my employment motivations, thanks for watching! ^CM

@mikezimmerman8662 11 ай бұрын

@tradertalkswebcasts 11 ай бұрын

Thanks! ^CM

@Mars2152 10 ай бұрын

I review all pertinent technical information and consult A.I. than just flip a coin. I have an 87% success rate.

@howardstory1391 10 ай бұрын

Uh huh.

@tradertalkswebcasts 10 ай бұрын

Quite the coin! ^CM

@tradertalkswebcasts 10 ай бұрын

You haven't seen those new coins with seven heads and one tail? Kidding! ^CM

@howardstory1391 10 ай бұрын

Can’t believe Schwab is encouraging people to gamble with their $. This is a recipe for disaster. I traded professionally for a top 5 bank for 25 years. It’s not a game and I would recommend anyone viewing this to avoid doing this. This is not something you learn through a video. It takes 10,000 hours to become proficient at just about anything. If you’re young, put a fixed amount of $ in an index fund like SPY every single month so you can sleep at night. this kind of stuff is really irresponsible.

@tradertalkswebcasts 10 ай бұрын

I appreciate your concerns and the time you've taken to provide this feedback. Trading and investing both certainly carry risks, and our educational videos should never be construed as "encouragement" to undertake a particular approach to the markets. ^CM

@daimu7971 10 ай бұрын

I 100% agree @howardstory1391

@TXNitroFord 10 ай бұрын

Life's short people want money now they don't want to wait for 20 years. With proper stop losses damage is minimized profits are e achieved.

@danle746 10 ай бұрын

It’s not Gambling if you’re smart and back testing the strategy on your simulator first and paper trading first before you can verify it is going to work for you. Only gambling if you’re just clueless about trading and want to scare people from testing it out.

@howardstory1391 10 ай бұрын

@@danle746 it takes years 4-5)to become proficient and it’s way beyond the capabilities and time commitment of the average investor, and, the market is up almost 50% in 15months & hundreds of people are on here telling unsophisticated investors to buy and sell every day. Do you have a 45% return on your trading portfolio in the last 15 months? Don’t bother preaching to me. I traded size, professionally all day long for a top 5 bank for almost 30 years. I know what it takes. You don’t.