Hello steemains!!

Hope you all are good and enjoying your lives. I'm inviting you to review my homework for week #10 given by @stream4u.

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Q1. What Is Price Forecasting?

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Basically Price Forecast means that you are predicting the future price of an assets.

Price forecasting is the process by which of a crypto asset is predicted after considering a lot of factors in the nearest future (that may be in a few days, few weeks,few months, some years...)

Or we can say that it's an important tool which is used to make predictions for the future price of an asset in uptrend or downtrend and helps a cryptotrader to make a wise trading/investment decision to buy/sell in crypto market. So it helps in short term investment and long-term investment in trading.

In price forecasting, you have to consider a few factors such as 1.the fundamental analysis which is the performance of an asset's company. 2 Technical analysis which is done by using indicators to check the price behavior of an asset in the present and the past time (support and resistance both are involved) to predict the market trend of an crypto asset in the nearest future. 3 sentimental analysis which arrived with what you have listened from other people used to predict the price of an asset in the near future.

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Q2. Discuss on why Price Forecasting is needed?

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The price forecasting is very important as it allows traders or investors to take benefits of the crypto market to get maximum chances of making good profits. Price forecasting can give advantage an investor or a trader when the market is going up I.e bullish but also when it's going down I.e bearish.

If a user base his price forecasting on technical analysis having drawn his support from the previous price history of that asset, now he can be prepared to position himself for a buy order and may also prepare to sell at an drawn resistance line . If he finally sold at that resistance, he may also position himself for next trade after getting a profit from the first one.

In short, this process helps to utilize the opportunities in an crypto asset trading or investing having proper analysis to predict the price of an crypto asset.

Q3. What Methods are best you feel for Price Prediction/Forecasting.

The following methods used for price forecasting i.e technical analysis, fundamental analysis, and sentimental analysis. These three methods are important in price forecasting. Now I'm elaborate these three.

Technical Analysis:

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This is a useful tool that can be used for price forecasting which includes to consider the price behavior of an asset by passing the time, the current price of that crypto asset, the price-performance in market towards either uptrend or downtrend . For price forecast also involves using the chart pattern, and utilizing support or resistance to any project entry and exit positions and various other factors. As we have different indicators that can be used in technical analysis, choose the one which works best for to predict the price of an asset and get the maximum profits from investments.

Fundamental analysis:

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Fundamental analysis whenused in price forecasting it does not comparing the past and present price of an crypto asset. It goes deeper to check the performance of the crypto asset's company, study the whitepaper of crypto asset to check what the crypto asset's team put down and then compare it to the current performance of the crypto asset.
A price forecasting based on fundamental analysis that requires checking the company's financial status, market supply of their assets , the perpose of the project, and how it is working to it's aim with the current performance of the crypto asset.
So fundamental analysis could serve as a best tool to predict the price of the asset in the nearest time which could be uptrend or downtrend.

Sentimental analysis:

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Next one is the sentimental analysis and I would say it is only developed from assumptions from different people in the crypto world.
Traders in ownership of an asset can inform it in public that the crypto asset is goes to do well, come to think about , when any one is holding an asset, will definitely want it to rise their assets and those who like this are sentiment about their forecast. While Other users, who are searching for information about an crypto asset can find such assumptions /analysis on social media, blogs news, friend's advice, and many more. It could be effective to predict or forecast the price of an asset but we should be aware that it's not always true as it, it's publicity of that asset comes with flaws too, means it could be true or false.

Q4. Take any Crypto Asset Chart graph and explain how to do Price Forecasting? OR Take any Crypto Assets Chart graph & as per its current price tell us what will be its future price for next 1 week or 1 month? You can predict for any direction up or down but explain it properly on what basis you have predicted the price.

For Technical analysis for price forecast we have to study long used price patterns to examine current market movements and forecast future too.

To demonstrate the technical analysis I took ethereum coin ETH/USD graph from coin desk.

First I'm showing ETH/USD chart pattern of one month 20 March to 20 April. By viewing the whole month chart pattern you can easily find that now the prices are at support level or we can say that it's a point to buy from market.

Second graph also shows clearly as the first one that market prices are down and are at support level, so trader should buy to get more profit from your investment.

This graph shows the market movements in one day. You can see clearly for short term investment at 6am and 12pm market was at support level, trade could buy and after that the market goes up and after 6pm it was at maximum that point is where trader should sell to get profits in short term in investment.
For long term investment graph also favors to buy from Market

Thank for reviewing my homework

Mentioning respected @stream4u for their support.