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[T108]Technical Analysis For Stocks

by Vikram Kumar, Vik

Wouldn’t it be nice if finding the right company where you can invest in stocks is made available to you easily? Instead of you searching for the companies and searching for their individual profile, you’ll just have to look at it in one place. This is the purpose why sites like Featured Profiles exists to provide details about the stock market and the stock pick for the week. Not only will the experienced investors benefit from them. Even novices can utilize the site to give them the fresh start on where to invest their money in stocks. With the available data at Featured Profiles, trading and investing in stocks is made easy. You just have to know how to read the stock analysis at the site and know how to trade as well.
Then it will be up to the Featured Profiles to provide the stock picks, companies that have favorable profile for stocks investment and other relevant data on stocks.

There are lots of things that you can get when you utilize stock resource sites like Featured Profiles. You will get different methods for stock analysis. One of which is technical analysis, which for some is a useful tool for stock behavior. The technical analysis uses charts that determine the trending of stock price in a given period. It also shows the level of the high and low movement of the stocks. Although technical analysis is only one tool in stock analysis, investors find it relevant to have technical analysis approach to stock analysis. And this is present at Featured Profiles when they provide traders and investors with the featured company or stock picks. Aside from the technical analysis, the site also provides other approaches that are even more popular and important such as fundamental analysis and quantitative analysis.

On top of the stock analysis methods present on the featured company in the site, you will also see other important details about anything for stock trading. This includes:

•Stock Hubs. This is about the stock trading details of a particular featured company. Here you will see stock notes on the present stock pick provided by the site. This can be your guide in trading if ever you decide to invest in stocks.
•Stock Pick. In the Featured Profiles, there is no single or few stock picks only. There are several stock picks from different dates. The picks do not necessarily have stock analysis because there are plenty of them. Instead you will only see the profile of the company and its stock price from a particular date. The profiles include the company size, financial data, the company financial activities, and goals. If you are an investor and you have an eye for fundamental and quantitative analysis instead of technical analysis, the data in this Stock Pick would surely be helpful for you.
•Stock Updates. Whatever happens in the previous trading day will be placed in the technical analysis in the Featured Profiles. It only however updates the stock picks present in the site.
•Alert. If you want to receive a regular newsletter from Featured Profiles, you can request for it. The administrators will email it to you accordingly. This will happen once you decide to join in the newsletter. This will surely help if you are serious about stock trading or investing.

The Featured Profiles site will surely be a helpful resource for stock investing.

So firstly, why does technical analysis work?

Let's look at how investors determine price and the equation for predicting market movement:

Fundamentals + Investor Psychology = Price

The important advantage for traders using technical analysis is that it assumes all fundamentals are quickly discounted in the price.

You can ignore all the news and simply assume in today's world of instant communications that all fundamentals show up instantly.

Technical analysis however does something more important:

It shows you how investors view the fundamentals and takes into account the emotions of the participants.

Think about it:

The price of anything is determined by people ? We all see the fundamentals, but we all draw our own conclusions of what the value of anything is.

By looking at charts we can see both the supply and demand fundamentals and the way they are viewed.

The critical advantage of technical analysis is that it allows you to study both of the above at a glance.

Human nature is constant and the emotions of greed and fear cause repetitive price spikes, that can be traded for profit.

All short term price spikes tend to be caused by human emotion and can be traded for profit.

So what do you need to be careful of?

While human nature is constant and technical analysis works, it cannot be reduced to a science:

It still remains an art and although charts can give you reliable patterns they do not:

Always allow you to win.

They will however put the odds in your favor and allow you to trade with the odds on your side.

Technical Analysis is an odds game

Just as the penalty kicker in football does not score every goal, you won't win every trade.

But, just like the skilled penalty kicker you will score (win) more times than you lose if you practice your art.

Technical analysis is simply, an art that you can use to put the odds in your favor.

In the next part of this article we will look at how to practice your art and the indicators you need to incorporate into your analysis to help you make big consistent profits.

Article Source : Advantages Of Investing In Mutual Funds

About Author

Both Vikram Kumar & Kelly Price are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Vikram Kumar has sinced written about articles on various topics from Teeth Whitening, Astrology Predictions and Family. Featured Profiles provides of the stock picks for the week. They provide tools like. Vikram Kumar's top article generates over 823000 views. to your Favourites.

Kelly Price has sinced written about articles on various topics from RSS, Learn Trading and Forex Trading Forex. FREE ESSENTIAL TRADER PDF'S AND MUCH MORE On all aspects of becoming a profitable trader including features, downloads and some great