Different Investors Analysis in different way but Mainly Stock market participant use : fundamental analysis, technical analysis, and sentiment analysis. Traders and investors often use a combination of these approaches to make informed decisions about buying or selling stocks.
- Fundamental Analysis:
- Description: This approach involves evaluating a company’s financial health and performance by analyzing its financial statements, earnings reports, management team, industry trends, and economic indicators, Revenue, earnings, debt levels, dividends, industry competition, macroeconomic factors & other important ratios.
- Description: This approach involves evaluating a company’s financial health and performance by analyzing its financial statements, earnings reports, management team, industry trends, and economic indicators, Revenue, earnings, debt levels, dividends, industry competition, macroeconomic factors & other important ratios.
- Technical Analysis:
- Description: Technical analysis focuses on studying historical price and volume data to identify trends, patterns, and potential future price movements. It assumes that historical price movements can provide insights into future market behavior using Price charts, technical indicators (e.g., moving averages, RSI, MACD), support and resistance levels, trendlines.
- Sentiment Analysis:
- Description: Sentiment analysis involves assessing the overall mood and sentiment of the market participants towards a particular stock or the market as a whole. This can be based on news, social media, or other sources of market sentiment. Such as News articles, social media mentions, analyst reports, investor surveys.
Additionally, traders and investors may also consider combining these analyses to get a more comprehensive view of the market. This is often referred to as a “top-down” or “bottom-up” approach.