I already talked about Forward Facing Outward in a Wrap in my Newbornwearing: Best Seat post, :
Oh, the controversial facing forward. In a nutshell, there are several arguments for not facing baby forward. It can be overstimulating, uncomfortable for wearer and wearee, no head or neck support, you cannot see baby’s need cues, and not ideal position for sleeping. I agree with most of these claims. It can be overstimulating if you kept baby in that position all the time. You might naturally hold your baby facing out for a short while, but you probably wouldn’t hold like that for a long time—and probably not while moving around. It would be hard to keep baby secure. You would probably turn them to face you eventually. But, you would do this holding baby, so it is reasonable to do this in a carrier. It is a bit harder to see if baby is giving you any signs or cues, but it’s not impossible. Just pause and take the best look you can—just like you need to do with baby facing towards you as well.
If the wrap is supporting baby in the optimal high and tight position with knees higher than bottom, then it can be comfortable for both baby and you. If you were holding baby facing out, you would probably hold baby up high with their bottom on your forearm lifting knees higher than bottom. This would boost up baby high enough to fairly easily see baby’s cues. Even with baby up high and tight, this may not be enough head or neck support for babies who have little or no head control. Your natural instinct is to totally support a newborn’s body, so you probably wouldn’t hold a baby who couldn’t support there head facing outward. But, you might once baby got a bit more control, so it’s reasonable to try in a carrier.
Check out my tutorial on how to achieve a FFO carry with deep seat in the optimal position: