Fundamental or technical analysis?

[francisco.perez]

Hello everyone,

I've been in finance world for a month more or less and I've been looking for different king of information. Now I'm a mess.

To start with, I would like to ask which analysis do you prefer? fundamental or technical analysis? I've read that some people use fundamental, others use only technical because it's easier and other use both...What do you think?

Thank you so much,
Francisco.

[francisco.perez]

I have a lot of views but any answer. Is there anyone that can help me please?

[Eugene]

I think it depends on many things like a target branch (health care, basic materials, etc.) or time period for which you invest the money.
For me fundamental analysis looks more attractive and predictable, because I prefer to take a close look at stock issuers and make long-term investments.
You can examine the company statements (such as CF and income statement) to know what to expect from it.
Technical approach requires a lot of mental stamina and relies on trends which can change rapidly.

But experienced investors use both of them.

P.S I'd highly recommend to have a look at Investopedia University. There are a lot of articles regarding investing written in a compresensive way.

Hope this helps

[Volatility]

You're going to have to be a lot more specific on the kind of trading you're talking about because the answer can vary wildly.

As an example, if you were a value investor you'd want to focus mostly on fundamental analysis.

If you're a short term swing trader or day trader, it's mostly just technical analysis.


Also remember, technical analysis is A LOT more comprehensive than people think. Many people think it's just drawing resistance and support lines. It's so so much more than that, so many of the things you might think are fundamental might actually fall under technical.


Short easy answer though, BOTH of course

[sakshisawant]

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