You're a technical analyst who needs to write a report for your boss. What's the first step?

1 Define your objectives

Before you start crunching the numbers and drawing the lines, you need to have a clear idea of what you want to achieve with your report. What are the main questions you want to answer? What are the key metrics you want to use? How do you want to present your findings and arguments? Defining your objectives will help you focus on the most relevant data and tools, and avoid getting lost in the details.

2 Collect and organize your data

The next step is to collect and organize the data you need to support your analysis. You may use different sources, such as historical prices, volume, volatility, market sentiment, news, and economic indicators. You need to ensure that your data is accurate, reliable, and consistent. You also need to organize your data in a way that makes it easy to access and manipulate. You may use spreadsheets, databases, or software platforms to store and manage your data.

3 Choose your methods and tools

Once you have your data ready, you need to choose the methods and tools you will use to analyze it. Depending on your objectives, you may use different types of technical analysis, such as trend analysis, support and resistance analysis, chart patterns, indicators, oscillators, or trading systems. You need to select the methods and tools that best suit your style, timeframe, and risk tolerance. You also need to test and validate your methods and tools to ensure their reliability and effectiveness.

4 Interpret and communicate your results

The final step is to interpret and communicate your results to your boss. You need to explain your assumptions, logic, and evidence behind your analysis. You need to highlight the main findings, insights, and implications of your analysis. You need to provide clear and actionable recommendations based on your analysis. You need to use charts, tables, graphs, or other visual aids to illustrate your points. You need to use simple and concise language to convey your message.

You have just learned the first step to write a technical analysis report for your boss. By following these steps, you can prepare a report that demonstrates your skills, knowledge, and professionalism as a technical analyst.

5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?