What is fundamental analysis? Technical analysis?

How Can We Help?

Search for answers or browse our knowledge base.

Documentation | Demos | Support

Fundamental and Technical analysis are two major schools of thought when it comes to approaching the markets, yet are at opposite ends of the spectrum.

Fundamental analysis evaluates stocks by attempting to measure their intrinsic value. Fundamental analysts try to determine a company‚Äôs value by looking at its income statement, balance sheet and cash flow statement. 

Technical analysis differs from fundamental analysis, in that traders attempt to identify opportunities by looking at statistical trends, such as movements in a stock’s price and volume.

Technical analysts focus on scrutinizing the chart itself for patterns to predict future price movements.

Previous What is Forex and the Forex Market?
Next What is Leverage?
Categories
Table of Contents