Technical Analysis ya Fundamental Analysis par trading?

[developerkhan]

There is a great debate about which type of analysis is better for a trader. Is it better to be a fundamental trader or a technical trader. To explore what the difference is between these two types of traders and which pieces of information they tend to look at.


Fundamental Analysis

Fundamental analysis involves assessing the economic well being of an entity, not taking into account its price movements. For traders in the stock market, they would take a look at the company�s earnings, expenses, assets, and liabilities. Fundamental traders will use those data points to determine the health of the company. If their economic well being is trending better as their company�s earnings and balance sheet is growing, then fundamental traders may buy the firm�s stock in anticipation of demand growing for that firm�s stock.

Technical Versus Fundamental Analysis in Forex
We have similar data points in foreign exchange, except for the whole economy rather than a specific company. A fundamental forex trader will analyze the country�s inflation, trade balance, gross domestic product, growth in jobs and even their central bank�s benchmark interest rate. By assessing the relative trend of these data points, a trader is analyzing the relative health of the country�s economy and whether to trade the future movement of their currency.

Technical Analysis

Technical analysis involves pattern recognition on a price chart. For equity traders, they will analyze the price of volume of the shares traded on the exchange. If prices are moving higher on increasing volume, traders will see the demand for shares of that company�s stock and buy.

Traders may also look for price patterns on the chart like triangles, flags, and double bottoms. Based on the pattern, a trader will determine the entry and exit points for the stock. A technical trader is not as concerned about why something is moving because the trends and patterns on the charts are their signals.

Technical Versus Fundamental Analysis in Forex
Forex has many of the same technical tools that are used in stock trading. A technical forex trader will assess the price action, trend, support and resistance levels. Many of the patterns used in equities trading are also traded in foreign exchange including those noted above.

Additionally, the indicators and oscillators added to a price chart are very similar between the stock and foreign exchange markets. Moving averages, Bollinger Bands, MACD, Relative Strength Index (RSI),and stochastic tends to be some of the more common tools in a technical traders tool box. This is a result of the indicators ease of use and clarity of signal it provides.

Technical analysis does not include �black magic� that many fundamentalists claim. Getting started in technical analysis can be done quickly by assessing the direction and strength of trends. After speaking to thousands of people in our webinars, seminars and twitter, my observation is that trend technical analysis is integrated into most facets of trading. Traders will use the trend analysis to help them determine which pair to trade and the direction to trade it.

Technical Versus Fundamental Analysis in Forex
(Created by Jeremy Wagner)

Above is an example of how a technical trader would notice this 6,000 pip trend where the AUD is very strong relative to a very weak EUR (which is why the rate is moving down). A trader would trade in the direction of this trend by selling the EUR/AUD pair (selling the EUR while simultaneously buying the AUD).

In conclusion, there are two common types of analysis (fundamental and technical). Most traders use a combination of both when making their trading decisions of which currency to trade, when to enter, and when to exit.

[Abniali05]

For me the most basic and most important analysis is technical for me or according to me you have to watch for some
big news as well going around the world and thats the thing my dear brother you have to stay focused on your success........

[azharahmad]

technical analysics or fundamanitla anaysics ya done he apan mind pr he depand karte ha ka ap kes ma trading krata ha ha technical ma agar karta ha tu ap ka leay ya best ha ku ka us ma hum sirf mind ka technical say he hum trading karta hain

[ikramulhoque]

Technical analysis and fundamental analysis are the two main schools of thought when it comes to analyzing the financial markets. As we�ve mentioned, technical analysis looks at the price movement of a security and uses this data to predict future price movements. Fundamental analysis instead looks at economic and financial factors that influence a business. Let�s dive deeper into the details of how these two approaches differ, the criticism against technical analysis, and how technical and fundamental analysis can be used together.

[azharahmad]

je technical or fundamatal trading pr bhe hum acha income bhe kar sakht jes hum apna ya boath zaroori ha technical trading view jes hum apna bonus bhe kama sakhta ha or hum us leay bhe acha bonus bhe kamta ha

[israr2017]

shuru ma sabb technical analyisis he krty hai lakkin jann ap market per kamm krty hai tuo app k pass market k bary ma fandamental analysis b a jata hai ye dona analiysis app k pass hona chaiye..

[azharahmad]

technich analysic ya ha har trader apna zahin say hum agar trading karta ha who hum analysics ketha ha hum us leay hum us technical analysics keh sakhta ha us leay hum apna work bhe sahi kr sakhta or trading ma hum achi inforamition bhe zaroor lani cheya jes hum acah earning kr sakhta ha

[dardo]

A good investor should handle technical analysis and fundamental analysis. The first type of analysis consists of the observation of graphs and the use of technical tools to make a prediction in prices. The second type of analysis is related to the investor's criterion. In this case, the trader analyzes each of the news of the economic calendar.

[bali351]

Technical analysis bohat eham hain trading main ye ap ko successful bnaate hian forex main bohat important hota hai ke hum money management risk ko follow karian ta ke successful ho jaye forex main ye bohat important hai.

[goyang]

In my opinion, both technical and fundamental analysis are important for a better career in forex trading.
That's because only if we are great in both aspects, we will be able to make a lot of money from trading.
Most traders think that technical analysis is more important as it mostly deals with how to make money.
But it is also very important for us to know the factors that affect the forex before thinking about how to make money in forex.