TM

User Manual
CONTENT

1. Introduction 3
2. The Autochartist Interface 4
Analysis Toolbar (A)
Pattern Display (B)
Search Pane (C)
Results Pane (Completed Patterns) (D)
Results Pane (Emerging Patterns) (E)
View Analysis (PowerStats) (F)
Research; Education & Product Support Pane (G)
Sound Switch (H)
The Autochartist Interface (cont) 5-8
3. Creating and Editing a Search 9
Basic Search
Advanced Search
4. Trend Change 13
Minimum Pattern Length
Quality Indicators
5. Chart Pattern Quality Indicators 16
6. Fibonacci Quality Indicators 17
7. Pattern Types 18
Chart Patterns
Fibonacci Patterns
8. Pattern Results 19
Emerging vs Complete Results
9. Support 22
 Chapter 1

INTRODUCTION

Autochartist is the world’s Our proprietary technology allows us to monitor thousands

most advanced tool for the of financial instruments 24 hours per day automatically
automatic identification of uncovering trading opportunities as they occur.
chart pattern formations
such as Triangles, Wedges, With our pattern recognition engines continuously scanning
Head-and-Shoulders financial markets such as Forex, Equities, Indices, and
and Channels, as well as Commodity markets, traders are notified within minutes of
Fibonacci Retracements, pattern formations.
-Extensions, ABCD-,
Gartley- and Butterfly We also offer PowerStats as a feature that gives traders
Patterns. important statistical information about the instruments they
trade. It helps when setting stop-loss and take-profit levels,
and provides a better assessment of risk and volatility.

Chart and Fibonacci Patterns are distributed to you in real

time via a web interface. This manual gives an overview of
how to use the web interface.

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 Chapter 2

The autochartist
interface
When you access Autochartist for the first time, the application will
display information that has been loaded by default.

The layout of the web interface consists of eight separate areas:

A
G

H
F

A Analysis Toolbar E Results Pane (Emerging Patterns)

B Pattern Display F View Analysis (PowerStats)
C Search Pane G Research; Education & Product Support Pane
D Results Pane (Completed Patterns) H Sound Switch

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2. THE AUTOCHARTIST INTERFACE

A Analysis Toolbar Alerts are cleared from this pane periodically

Click on the buttons on this toolbar to as automatic updates occur.
switch between Chart Patterns view and
Fibonacci Patterns view. B Pattern Display
The price graph and illustrated pattern
When new patterns are found, this icon displayed in this pane represent the result
appears next to the search name, as well that was selected in one of the Results
as next to the analysis type (Chart patterns Panes (D or E).
and/or Fibonacci patterns) on the toolbar.
When you click on the icon you are
redirected to the relevant search results.

The columns to the right of the price graph

contain additional information about the
pattern, such as time found, pattern quality,
pattern length and forecast region. For
more information see ’Results Pane’ D or E.

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2. THE AUTOCHARTIST INTERFACE

C Search Pane A Fibonacci Pattern has completed when

its final turning point adheres to the
The search pane contains your list of
predefined criteria for that pattern.
defined searches. This list is populated
with default searches when you login for
the first time. Each search contains a set of Results are ordered chronologically by
criteria defined by you, and it specifies: default, but you can sort results by clicking
on any of the column headers.
• where to look for patterns, by
choosing from a predefined list of
groupings (symbols are grouped, for E Results Pane - Emerging Patterns
example, by exchange or instrument This pane lists all emerging patterns
type). identified for the selected search
(highlighted in the Search Pane, C). A
• what types of patterns to look for.
pattern is defined as emerging if it has
• other criteria that can further filter not yet fulfilled the criteria to be regarded
results. as complete. These patterns provide a
useful early indication of potential trading
The information shown in the Results Panes opportunities.
(D and E) only pertains to the highlighted
search. Results are ordered chronologically by
default, but you can also sort results by
An existing search can be edited by clicking on any of the column headers.
clicking on the pencil icon ( ), or deleted
by clicking on this icon ( ). Please refer to See Chapter 8: “Emerging vs Complete
Chapter 3 “Creating and Editing a Search” results” for a more complete explanation
for details on creating or editing a search. of the difference between completed and
emerging patterns.
D Results Pane - Completed Patterns
This pane lists all completed patterns
identified for the selected search
(highlighted in the Search Pane, C). A Chart
Pattern is defined as being completed
when the price has broken through the
identified support or resistance level.

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2. THE AUTOCHARTIST INTERFACE

F View Analysis (PowerStats)

The PowerStats toolkit provides traders with insight into the relative
movement of all instruments. This is very helpful when formulating new
trading plans, or refining and re-evaluating existing strategies. As an
important feature of Autochartist, together with Chart and Fibonacci
Patterns, PowerStats helps traders to set stop loss and take profit levels, as
well as helping to figure out risk and choosing the appropriate instruments
to trade.

To access the View Analysis (PowerStats) feature click on the “View Analysis”
Button. A new screen will open up:

Price Range
Forecast Screen
Movement
per Hour Screen
Movement per Day Screen

PowerStats offers:
• Average PIP movement in specific time frames
• Likelihood for upside or downside momentum (based on history)
• Maximum expected price movements (statistical highs and lows)
across various time frames
• Expected price movements over weekday and hourly time frames

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2. THE AUTOCHARTIST INTERFACE

G Research; Education & Product Support Pane

This pane provides access to Research; Education and Product Support
documentation.

Research
Access our Daily and Weekly commentary which is produced by our in-
house team of analysts and quoted in leading wires such as Reuters and
Dow Jones. Our articles cover Forex, Indices (including specific pieces on
the FTSE and ASX) and Commodities.

Education
We suggest that traders view our 5 Introductory Videos and also read
through our articles, as these contain a variety of topics that cover most
aspects of our service.

Product Support
Here end users are able to access the Autochartist User Manual and Intro
Guide

H Sound Switch
Here users are able to toggle the alert sound to on or off:

ON OFF

“Autochartist is an indispensable time saving component in our daily operations, simply a

must have for any trader who is serious about getting an unbiased opinion of the markets.”
LeMoil Howard www.autochartist.com

8
 Chapter 3

Creating and Editing

a Search
A search is a set of criteria, defined by you, which is used to scan the
market for patterns.

Each new search is created specifically, either for Chart Patterns or for
Fibonacci Patterns.

Users are able to use the basic “New Search” function or the “Advanced
Search” function.

New Search

To create a new search, click on the “New Search” button in the Search
Pane C (see above) under the relevant pattern heading. A separate window
will pop up in which to define your search.

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3. creating and editing a search

Search Type
This section of the “New Search” window allows users to choose a Group by
clicking on the drop down list. This is a fundamental decision to make when
creating a new search - where to scan for patterns.

You may either choose a pre-defined group of symbols, or you can select a
custom list of symbols for your search.

For groups, simply select the “Group” option from the radio button and
choose from the drop-down list of groups.

To search for specific symbols choose the “Symbol” option, add your
preferred symbols, and select the relevant time granularities you would like
to view. Click “Add” after entering each symbol.

Search Name
The second part of the search window provides a text field for you to enter a
name for the search. It should be given a meaningful name, just as you would
give a descriptive file name to an important document when saving it. The
name of the search will be displayed under the relevant pattern heading in
the Search Pane (C).

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3. creating and editing a search

Advanced Search
The “Advanced Search” function is located just below the Basic Search Area
(see below).

To create an “Advanced Search” click on the Advanced Search link. After

completing the same steps as in the basic “New Search” section, further
refine your search by selecting from an existing list of criteria like Price Range,
Direction, Trend Change, Minimum Pattern Length and several Quality
Indicators. Each section is described below.

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3. creating and editing a search

Price Range
A minimum to maximum price range can be selected. This functionality is
mainly useful for scanning equities and/or CFDs

Direction
Search results can be filtered according to the direction of the expected
outcome of price movement after the pattern is identified. Every pattern has
either a bullish or bearish outlook. If you are interested only in a particular
market direction you can select it here by clicking the applicable radio button.

“Can’t wait to learn Autochartist!

Jose Riviera www.autochartist.com

12
 Chapter 4

Trend Change

Trend Change
The expected price movement after a Chart Pattern was found would either
be in the same direction as the Initial Trend, or in the opposite direction. If
the expected price movement after the pattern follows the same direction
as the Initial Trend it is a known as a continuation pattern. If it goes in the
opposite direction to the initial trend it is called a reversal pattern.

Depending on the type of market stage (trending or sideways) you may be

more interested in either continuation or reversal patterns. Here you can
filter these according to your preference by clicking on the applicable radio
button.

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4. TREND CHANGE

Minimum Pattern Length

Pattern length specifies the number of candles (bars) of the price chart that
are contained in the pattern. For example, a pattern of length 30 found on 60
minute data would mean that the pattern was formed over 30 hours.

Longer patterns tend to be of better quality, so you can choose to filter out
short patterns by setting the minimum pattern length using the slider.

Quality Indicators
Five objective indicators measure Chart Pattern quality, and three measure
Fibonacci Pattern quality.

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4. TREND CHANGE

Quality indicators reflect the visual appeal of the pattern. A high quality
pattern will naturally appear more attractive. The Overall Quality measure
indicates average quality across all indicators.

Quality is expressed as a number ranging from 0 to 10, where 10 is the best

quality and 0 is the poorest. Use the sliders to set the required levels of
pattern quality for your search.

It is important to remember that the settings in this section determine the

minimum requirements for quality. A lower threshold would allow more
patterns to pass the search criteria. If the requirements are set too high,
your search may return very few results or none at all. By default all quality
requirements are set to zero.

”By all standards auochartist software is marvelous and a must for every trader.”
Eddie www.autochartist.com

15
 Chapter 5

Chart Pattern Quality

Indicators

Clarity Uniformity
Indicates the level of “noise” in the price If the points touching the support and
graph. If there are many spikes in the price resistance lines are more evenly spaced
movements the clarity will be low. over time, the pattern will have a better
Uniformity rating.
Initial Trend
The strength of the trend that precedes a Breakout Strength
pattern is a very good measure of the visual The momentum with which the price breaks
quality of the pattern. A long, consistent through support or resistance indicates
Initial Trend will have a higher rating for this breach of a previous psychological level.
indicator. Stronger Breakout is a reinforcement of
the underlying theory, and signals a better
Volume chance of reaching the Forecast Region.
An important indicator to measure the
worth of a market move. If the markets
have made strong price moves either up or
down. The perceived strength of that move
depends on the Volume for that period.
The higher the Volume during that price
move the more significant the move.

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 Chapter 6

Fibonacci Quality
Indicators

Clarity Price Symmetry

Indicates the level of “noise” in the price The degree to which the identified ratios
graph. If there are many spikes in the price match the theoretical Fibonacci ratios,
movements the Clarity will be low. within some margin of error. The smaller
the margin of error, the higher the Price
Time Symmetry Symmetry.
The degree to which time differences
between turning points follow the same
Fibonacci ratios found in price levels.

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 Chapter 7

Pattern types
There are 16 types of Chart Patterns or six In addition, you can click on an information
types of Fibonacci Patterns that can be icon that details the characteristics of
included in a search. Each pattern type the pattern, when it forms and what it
is listed in this section, together with a suggests.
checkbox that can be ticked to include it as
part of the search.

Chart Patterns

Fibonacci Patterns

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 Chapter 8

Pattern Results

The Pattern Display Pane (B) in “The Once you click on the the description
Autochartist Interface” section) contains below will appear:
detailed information on specific
characteristics of the pattern. There are
helpful descriptions available by clicking on
the icon next to each item.

Symbol
The name of the instrument on which the Length
pattern was found. The number of candles / bars of the price
chart that are contained in the pattern.
Interval
Time interval of the data on which the Direction
pattern was found. Forecast direction of price movement after
pattern completion.
Pattern
Descriptive name of the type of pattern Quality Indicators
identified. See Chapter 4: “Quality Indicators”.

Pattern End Forecast From / To

Date and time when the pattern was Maximum and minimum price levels in the
identified or when it reached its completion. Forecast Range of a completed pattern.

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8. Pattern results

Emerging vs Complete Results

Emerging patterns provide you with early notification of potential trading
opportunities. They represent partially complete pattern formations that,
once completed, would adhere to the underlying theory. Most emerging
patterns do not complete, however, this means that the price moved in such
a way that the graph no longer represents a valid pattern.

Emerging Chart Patterns are detected when the price is trading between
support and resistance levels, but has not yet broken out in the direction
anticipated by the pattern.

Emerging Chart Pattern

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8. Pattern results

If a new turning point forms between the support and resistance levels before
breaking out, the emerging pattern will no longer be valid.

Emerging Fibonacci Pattern

In emerging Fibonacci Patterns, the price level of the final turning point of
the pattern has not been reached yet. This is because it is only a theoretical
possibility when the pattern is recognized. If the price graph does not make a
turning point at the same price as the theoretical turning point, the Fibonacci
Pattern will no longer be valid.

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 Chapter 9

Support

For further support or information please visit www.autochartist.com or

e-mail [email protected]

“Autochartist is a indispensable time saving component in our daily operations. While

we conduct elliot wave analysis, design digital signal filters, custom indicators and expert
advisors for use in our investment portfolios. Autochartist steps right in to provide a key
element: third party conformation. It’s one thing to find the next best investment idea;
however, the best ideas in any market come about with perfect timing and making sure that
you are not on an island by yourself when it’s time to buy or sell. Autochartist is simply a
must have for any trader who is serious about getting an unbiased opinion of the markets.”
LeMoil Howard www.autochartist.com

22
For further information on this
and other Autochartist products,
visit our website at

www.autochartist.com

TM

DISCLAIMER: The Autochartist service includes chart pattern identification in respect of foreign currencies, commodities, equities and stocks.
There are potential risks relating to investing and trading. You must be aware of such risks and familiarize yourself in regard to such risks and
to seek independent advice relating thereto. You should not trade with money that you cannot afford to lose. The Autochartist service and its
content should not be construed as a solicitation to invest and/or trade. You should seek independent advice in this regard. Past performance
is not indicative of future performance. No representation is being made that any results discussed within the service and its related media
content will be achieved. All opinions, news, research, analyses, prices or other information is provided as general market commentary and
not as investment advice. Autochartist, MDIO Software, their members, shareholders, employees, agents, representatives and resellers do
not warrant the completeness, accuracy or timeliness of the information supplied, and they shall not be liable for any loss or damages,
consequential or otherwise, which may arise from the use or reliance of the Autochartist service and its content.