Stock analysis comes in many shapes and sizes. You will hear some investors tell you that you have to analyze stocks one way, and you will hear other investors tell you that you have to analyze stocks another way. The question is, which one is right? We're here to tell you that there are many effective ways that you can analyze stocks. You don't have to stress yourself out trying to fing THE perfect way to analyze a stock because it doesn't exist. Instead of looking for the Holy Grail of stock analysis, you should focus on finding a method—or combination of methods—of stock analysis that you feel comfortable with. After all, you're the one who is going to be using your methodology. Shouldn't you feel comfortable using it? To help you get a feel for the various methods of stock analysis that are available to you, we will be discussing the following analysis categores: - Fundamental Analysis - Technical Analysis - Relative Strength Fundamental Analysis Fundamental Analysis involves looking at the performance of the company who has issued the stock you are investigating. Strong companies tend to have strong stocks. Click here to learn more about Fundamental Analysis. Technical Analysis Technical Analysis involves looking at the price chart of the stock you are investigating to see if the price is moving higher or lower and what it is likely to do in the future. Click here to learn more about Technical Analysis. Relative Strength Relative Strength involves comparing one stock, mutual fund or ETF with another to see which one is enjoying stronger growth. You can put the odds of success in your favor when you invest in strong stocks. Click here to learn more about Relative Strength. Let's get started by learning a little bit about Fundamental Analysis. |