--- title: "Quick tour: read and trade a forecast in 5 steps" slug: "forecasts-quick-tour" kind: "ACADEMY" category: "getting-started" locale: "en" canonical: "https://app.forecastcity.com/academy/getting-started/forecasts-quick-tour" published: "2026-11-05T01:34:15.872Z" updated: "2026-11-05T01:34:15.872Z" description: "Read and trade a 4CastMachine AI forecast in 5 steps: check the 8-timeframe panel, inspect zones and pivots, wait for a candle, and set alerts." --- # Quick tour: read and trade a forecast in 5 steps This quick tour shows you how to read and trade a **4CastMachine AI** forecast in five practical steps across Crypto, Gold, and Forex, from checking the 8-timeframe panel to setting an automated alert or strategy. **Worked 5-step example on BTCUSD 1h (shown below):** In the **4CastMachine AI** panel, Weekly (`W`, `Bullish above 48879.14`) and Daily (`D`, `Bullish above 74975.45`) both point up. On the `1h` chart, the forecast reads `Bullish Above 78894.89` with a **Buy zone** from `78894.89` to `S1 = 79703.62` and a Profit zone from `R1 = 81295.90` to `R5 = 84160.75`. After price pulls back into the Buy zone and closes a bullish reversal candle, it rallies past `80537.74` toward the five stepped targets (`TP1 = 81295.90`, `TP2 = 81968.76`, `TP3 = 82628.37`, `TP4 = 83436.66`, `TP5 = 84160.75`), with the stop loss placed behind `78894.89` by `10%` of daily `ATR(264, D)` plus spread and moved to `Entry + 1 pip` once `TP1` hits. ## What are the five steps to trade a forecast? Every trade with **4CastMachine AI** follows the same five steps across all timeframes, whether you are buying a bullish pullback on `BTCUSD 1h` or selling a bearish rally on `XAUUSD 15m`: ![The 4CM-AI Charts screen showing the BTCUSD 1h bullish forecast (Bullish Above 78894.89), Buy zone (78894.89 to 79703.62), Profit zone (R1 81295.90 to R5 84160.75), Reverse zone (S3 77994.82 to S5 75733.49), and the 4CastMachine AI panel.](https://m.forecastcity.com/t/tnt_forecastcity/media/54/54ccd26585c2b93e823556bd38630e17879214ba11186997177dbdc85443f9a9.png) Example 1 (Crypto Bullish): BTCUSD 1h chart and the 4CastMachine AI multi-timeframe panel. 1. **Symbol and 1h timeframe:** confirms you are viewing `BTCUSD` on the `1h` execution chart. 2. **Buy zone (78894.89 to 79703.62) and Pivot:** shaded support band above the `Bullish Above 78894.89` pivot where the bullish wave launched. 3. **Main path arrows and Profit zone (R1 to R5):** solid green arrows pointing to five stepped targets from `R1 = 81295.90` up to `R5 = 84160.75`. 4. **4CastMachine AI panel (15m to W):** shows `1h Bullish above 78894.89` aligned with `D Bullish above 74975.45` and `W Bullish above 48879.14`. The exact same visual structure works in reverse during a bearish setup, as shown on this full-width `XAUUSD` (Gold) `15m` chart: ![Full-width XAUUSD (Gold) 15m chart showing a bearish forecast (Bearish Below 4138.98), Sell zone (R1 4106.67 to 4138.98), price action at 4092.99, Profit zone targets (S1 4071.33 to S5 4005.82), and the upside Reverse zone (up to R5 4172.55).](https://m.forecastcity.com/t/tnt_forecastcity/media/83/83a841f6f073c60eac788708bd7846651c0e1650fd7272295be99553b74277d0.png) Example 2 (Gold Bearish): XAUUSD 15m chart with Sell zone, Profit zone (S1 to S5), and Reverse zone. 1. **Pivot (4138.98) and Reverse zone (up to R5 4172.55):** if Gold breaks above `4138.98`, dashed green arrows map the upside path to `R4 = 4163.87` and `R5 = 4172.55`. 2. **Sell zone (R1 4106.67 to 4138.98):** resistance band (including `R2 = 4125.31`) where sellers rejected the rally. 3. **Price action and AI trend line:** shows the prior consolidation box, the impulse wave, and the red AI trend line intersecting the target zone. 4. **Stepped Profit zone targets (S1 4071.33 to S5 4005.82):** solid green arrows pointing from live price (`4092.99`) down to `S1 = 4071.33`, `S2 = 4056.60`, `S3 = 4034.78`, `S4 = 4021.04`, and `S5 = 4005.82`. ## Step 1: Check the higher-timeframe compass in the panel Before looking at your entry candle, look at the **4CastMachine AI** panel on the right side of the chart. Check the row one or two steps higher than your trading timeframe (for example, on `BTCUSD 1h`, check `D Bullish above 74975.45` and `W Bullish above 48879.14`). When the higher timeframe and your trading timeframe show the same green `Bullish` or red `Bearish` direction, you are trading with the main market tide. Read [Align timeframes from Monthly (M) down to 5m]() for the full pairing table. ## Step 2: Read the pivot, arrows, and zones on your chart On your active timeframe, read the four building blocks drawn on the candles: - **Pivot price:** The decision line written in the panel (such as `Bullish above 78894.89` on `BTCUSD 1h` or `Bearish below 4138.98` on `XAUUSD 15m`). The forecast stays valid as long as price stays on the forecast side of this line. - **Buy zone or Sell zone:** The shaded entry band starting at the pivot (`78894.89` to `79703.62` on `BTCUSD 1h`; `4106.67` to `4138.98` on `XAUUSD 15m`) where a new wave or pullback entry begins. - **Main path (solid green arrows) and Profit zone:** The expected price path leading to the five target levels (`R1 = 81295.90` to `R5 = 84160.75` on `BTCUSD 1h`; `S1 = 4071.33` to `S5 = 4005.82` on `XAUUSD 15m`). - **Reverse zone and alternate path (dashed green arrows):** Drawn on `4h` and lower timeframes on the opposite side of the pivot. If price breaks the pivot and enters the [**Reverse zone**]() (down to `S5 = 75733.49` on `BTCUSD 1h` or up to `R5 = 4172.55` on `XAUUSD 15m`), the dashed arrows show the opposite scenario. ## Step 3: Wait for a confirming candle inside the zone Why should you wait for a candle instead of entering the instant price touches a zone? Entering blindly on a fast candle can catch a falling knife that slices straight through the pivot. Instead, wait for price to enter the zone and close a reversal candlestick pattern: - **On intraday charts (5m to 4h):** In a **Buy zone**, wait for a `Hammer` or `Bullish Engulfing` candle to close. In a Sell zone, wait for a `Shooting Star` or `Bearish Engulfing` candle to close ([Lesson 3]()). - **On the daily chart (D):** Wait for a daily `Hammer`, `Valley` (two-candle trough), `Shooting Star`, or `Peak` (two-candle crest) to close inside or within `ATR(264, D) / 2` of the zone ([Lesson 4]()). ## Step 4: Set stepped targets, stop loss, and Break-Even Before opening the trade, define your exit and risk levels from the forecast zones and pivot: - **Stepped Take Profit:** On intraday charts, split your position into 5 equal parts (`20%` each) at the five `4CM-AI` targets (`TP1` to `TP5`). On the daily (`D`) chart, set stepped targets at consecutive support/resistance lines and leave one order open as a [**Free Trade**](). - **Stop Loss:** On intraday charts, place your stop loss behind the `4CM-AI` pivot by [`10%` of daily `ATR(264, D)` plus spread](). On the daily (`D`) chart, use a [**Soft Stop Loss**]() that closes only if a healthy daily candle closes outside the zone. - **Break-Even rule:** As soon as `TP1` is touched on an intraday trade (such as `81295.90` on `BTCUSD 1h` or `4071.33` on `XAUUSD 15m`), move the stop loss of the remaining orders to `Entry + 1 pip` (or `Entry - 1 pip` on a Sell) so your trade cannot lose money. ## Step 5: Automate with alerts, AI Strategy Studio, or Virtual account You never need to sit in front of the monitor waiting for price to reach a zone. Click the lightning icon in the **4CastMachine AI** panel to set a zone alert, or open [Automate forecasts with alerts, AI, and risk rules]() to run the built-in **4CastMachine AI strategy** on a Virtual account or real account. ## Where do I go next? Open the [Step-by-step guide]() to follow all seven lessons in order, or jump directly to [Lesson 1: What a forecast is, Quad-AI, and why not signals]().