Technical Analysis or Fundamental Analysis?

[lou]

When making investment decisions do you subscribe to Technical Analysis rules or Fundamental Analysis Rules?

[Halebop]

Nice topic, sure to keep the old sharetrader hands calm and collected :t_up:

I'm for both but the voting options don't seem appropriate for this. Funamentals for quality and value, technicals for direction and momentum.

Just to throw in another option - Brent Sheather was talking about ETFs and low fee index tracking. Not for me but it has it's place (As a Diligent shareholder I'm quite pleased with index tracking mandates).

[Jay]

Although the Site is called Sharetrader, quite a few on here are "long term" investors or both and probaly like me use both FA & TA

Majority Fundementals with a bit of T/A for the Long Term portfolio and the other way around for the trading portfolio

[POSSUM THE CAT]

What about using your brain

[lou]

What about using your brain
Is that your other strategy.

[lou]

I'm for both but the voting options don't seem appropriate for this. Funamentals for quality and value, technicals for direction and momentum.


I do think they can coexist in a strategy and using them both will generate better returns rather than relying on one. However I guess it could be which type of analysis influences you the most.

[OldRider]

I'm with Halebop, old maxim "Don't hold short term what you wouldn't hold long term"

[Financially dependant]

IMHO there are no rules..what worked yesterday might not work today, I have used both TA and FA with varying levels of success. Having a plan is vital which helps takes the emotion out of trading/investing, my plan consists of both forms of analysis so I don't buy out of greed and sell out of fear...

[lou]

IMHO there are no rules..what worked yesterday might not work today, I have used both TA and FA with varying levels of success. Having a plan is vital which helps takes the emotion out of trading/investing, my plan consists of both forms of analysis so I don't buy out of greed and sell out of fear...

However if your plan is not a consistient mix of TA and/or FA it leaves you open to making emotional decisions.

[STRAT]

Hi Lou.
Why would using both schools of thought to varied degrees leave you open to making emotional decisions? Reckon not.
Having a plan is fine as long as you dont get emotional when someone messes it up. :D
Everyone buys out of greed and sells out of fear. Everyone.

TA for me
Its easier to play a crowd than to it is to swallow what company directors tell you.

Dont play with money you cant afford to loose.
Know the limits of your skills and dont pick fights you cant win.
know when you have lost. Cut your losses and run.
Dont swim against the tide. Like right now.

TA and FA are tools. Not rules.

[BIRMANBOY]

You might want to check poll results percentages ...at the moment adds up to 150% ???

[BIRMANBOY]

I'm with you Possum.....problem with rules and tools is of course the TA 's like the market to tell them what to do and the FA's tell the market what it should be doing.
What about using your brain

[Halebop]

You might want to check poll results percentages ...at the moment adds up to 150% ???

Some people have voted twice which appears to be confusing the count of numerators and denominators.