Fundamental analysis Vs Technical analysis? Differences

Analysis of market using technical and fundamentals parameters

Get the complete details & information of fundamental analysis vs technical analysis.
1) Fundamental Analysis It is an answer to the question of what to buy & why to buy. concentrates on financial drives of the economy itself.
2) fundamental Analysis is a study of the auditor,s report, Loss & Profit statements, dividend report, quarterly balance sheets, dividend records & policies of the companies.
3) fundamental Analysis is also the analysis of the sales data, managerial ability & plan capacity & competition.
4) In addition to above it is also study of production indices, price statistics & crop forecasts to gauge the state of economy in general & arrive at an estimate of future business conditions.
5) After all this, an evaluation of the stock is done & if the same is selling below the appraisal value it is regarded as a buy.

How many factors to study in Fundamental Analysis?

Many indicators, factors & calculations are used to assess the value & growth potential of a stock. Below some indicators used to study a company fundamental analysis.
1) Company history & Line of business.
2) product market dem&, market share.
3) top management of company.
4) Patents & Trademarks.
5) partnership with others, Competition, Future B Business Plan, Market Cap.
6) Volume of trade, EPS, P/E.

Most Important factor of Fundamental Analysis.

1) Global Economy, International Political Situation.
2) National Economy, Macroeconomy Policy, GDP, Inflation, Exchange Rate, Exchange Rate, Bop, Intrest rate.
3) Industrial sectoral Trends. e.g competitive market structures, Government industrial Policy.
4) Refined Sectoral Trends e.g competitor Product Development, Market share, Product Position, Competitive Advantages.
5) Regional / Local Market Trends.
6) Company specific Analysis (Management, Market capabilities, Resource Availability, Ratio Analysis, Expansion Plans, Growth).

Fundamental Analysis Vs Technical Analysis.

Sr. No.FundamentalTechnical
FocusQuantitative & Qualitative Factors.Price & Volume.
DataFinancial Statements.Chart.
TimeLong-Terms.Short-Term.
GoalInvesting Trending.Trending.

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