Difference Between

Fundamental Analysis And  Technical Analysis

Fundamental Analysis

Fundamental analysis evaluates a company's real stock value using financial statements, key ratios, and factors like management quality and industry trends.

Technical Analysis

Technical analysis predicts security prices using historical data, patterns, and indicators like RSI, MACD, focusing on short-term trading.

Fundamental Analysis Vs Technical Analysis

Fundamental analysis evaluates financials, management, and industry trends, while technical analysis focuses on price data and volume indicators.

Fundamental Analysis Vs Technical Analysis

Fundamental analysis evaluates company basics and economic factors,while technical analysis uses price data and indicators for short-term trades.

Primary Focus

Fundamental Analysis Vs Technical Analysis

Fundamental analysis is for long-term stock investments, while technical analysis targets short-term price patterns and trends.

Investment Horizon

Fundamental Analysis Vs Technical Analysis

Fundamental analysis uses company reports and financial data, while technical analysis depends on historical prices and charts.

Source of Data

Fundamental Analysis Vs Technical Analysis

Fundamental analysis targets long-term wealth growth in strong stocks, while technical analysis seeks short-term profits from price movements.

Function

Fundamental Analysis Vs Technical Analysis

Fundamental analysis prioritizes long-term prospects, while technical analysis reacts to immediate news for short-term gains.

Impact of News

Fundamental Analysis Vs Technical Analysis

Fundamental analysis relies on company data for long-term investments; technical analysis uses price patterns for short-term trades.

Decision Making

Fundamental Analysis Vs Technical Analysis

Fundamental analysis focuses on long-term wealth and undervalued stocks, while technical analysis targets short-term profits from price movements.

Goal

Fundamental Analysis Vs Technical Analysis

Fundamental analysis carries lower risk focusing on long-term company health, while technical analysis has higher risk due to short-term price volatility.

Risk

Uncover the key differences between Fundamental and Technical Analysis.