6 Fundamental Analysis Vs Technical Analysis Vs Macro Analysis

theFreedomTrader®

-------------------- SUMMARY: -------------------- Is Fundamental Analysis, Technical Analysis or Macro Analysis Better? This is a question that has been waged over the years and a question that I get all the time. Which is actually better? Fundamental analysis Technical Analysis or Macro Analysis Let’s attempt to answer this now. Personally, I began in the pure fundamental analysis camp having studied the great fundamental value investors, Warren Buffet and Phil Fisher, and I lived with the motto, ‘Price is what you pay, value is what you get’. As time progressed, I also got interested in trading, focused on charting or better known as technical analysis, trying to use past price data to try and predict where it is headed. Then there is the Macro Analysis camp where traders look purely to economic data like unemployment, interest rates, and consumer confidence. So question is, which one is actually better? I found that each had its advantages and disadvantages and you can actually succeed if you just used each on it’s own, but it just makes it harder. But what if you combined all three disciplines into your investment and trading approach? Would that have any positive affect on your performance short, medium and long term? The answer is a very big YES! So you can take the following 3 actions from today onwards to dramatically improve your investment results; 1. Simply Fundamentally Analyse companies and only invest or trade the most financially strongest listed stocks on the market, then 2. Overlay that with Technical Analysis to help time your entry or exits, and then to finally 3. Overlay Market Analysis which then gives you a much broader picture of the safety of the current environment which determines if you should be in the market or not. The performance you can achieve and most importantly the extreme reduction of risk to achieve your return outcome is extraordinary. Get Terry’s 10 step stock checklist and video lessons for free: http://www.thefreedomtrader.com