Breaking down Technical and Fundamental analysis

in #btc7 years ago

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There are two main analysis types on trading market, technical and fundamental analysis. It is essential to know and use both analysis in order to achieve success in trading. Fundamental analysis studies why price is going to the certain direction and what to expect in the future. Technical analysis studies past movements of the price and shows us what to expect in the future using historical prices, highs and lows, strong prices etc. Be aware that Lots of scammers who are selling their training courses are showing different indicators and they are trying to convince newbies that indicators are the only thing you need to know on the market, which of course is a lie, since indicators are made based on mathematical algorithm and works only after price starts moving, so main point is that first moves the price, then indicator. I know this because I have been there, when i first encountered with trading market i started testing different indicators trying to find right one, because it is easy to look at something and open positions accordingly but of course it doesn't work.

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There are many people enjoying using technical analysis to attract attention and directing the buys and sells of investors. They seems to neglect the fundamental analysis. In your personal investment, if you don't depend on technical things, how can you manage your crypto wealth ?