Technical analysis vs Fundamental analysis: Which is better?
Fundamentals, while important, do not help the stock trader assess risk and timing issues in the present and now. This is where technical analysis documents, stock analysis and stock market charts outshine the fundamentals. However, both disciplines can be used to compliment each others strengths. Every stock move is driven by one of three emotions: • fear • greed • uncertainty Uncertainty is the pit stop between fear and greed, the two most dominate emotions. When the most dominant group of stock traders in a stock are being driven by greed, the stock will rise…..when the most dominant group of stock traders in a stock are being driven by fear, the stock will sink…..and when the most dominant group is uncertain, the stock will stabilize and the stock price will remain flat. In other words, we in effect are not trading stocks, we are trading people! That’s technical analysis fundamentals. For further in-depth information, this resource contains critical information to help you lear
Related Questions
- I have been investing in stocks using fundamental analysis, how would technical analysis help me in taking better decisions as compared to fundamental analysis ?
- What is fundamental analysis and technical analysis and which is a better option for choosing a stock?
- How effective is technical analysis in comparison to fundamental analysis for trading ?
