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Analysis?
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Applying both might be your best


approach!
Generally, the type of analysis you choose depends on your
overall investment strategy. We assume that those who are into
long-term investing put greater emphasis on fundamentals;
those who are into short-term trading focus more on technicals.
However, both forms of analysis are equally important.

Using both the Fundamental and Technical approach can


provide you with information that adds insight into your
investment analysis. For example, you can use Fundamental
analysis to choose stocks and Technical analysis to dictate the
ideal entry or exit price.

To understand this further, here are the primary characteristics


of Fundamental and Technical analysis, and find out how using
both approaches can increase your probability of making wise
investment decisions.

Fundamental Technical
Analysis Analysis

Concentrates on the Focuses on the stock's


company's overall historic price charts and
performance and market volumes
financial strength
Uses stock charts to
Uses financial drivers, identify patterns and
economic data and trends that suggest how
analyzes the overall the stock will do in the
condition of the industry future
to predict the future
performance of the
company
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