Analysis- Key to profit

The demand and supply drives the stock price.
Stock prices change everyday by market forces.
if more people wanted to sell a stock than buy it, there would be greater supply than demand, and the price would fall.
Fundamental analysis is studying a company in detail to know the earning potential of the company.
Fundamental analysis is fool proof. The chances of making profit is high.
Disadvantages:
Only stronger hands can have access.
Time consuming process.
Inputs for Fundamental analysis:No of people working, Nature business, Market share, Sales volume, Competitiveness, Management team, Labor union, Quality management, HR policies, No of current projects,Client satisfaction
Technical analysis is analyzing the market trends and following the market.
Technical analysis is possible even for a common man.
The success rate is marginally over failure rate.
The study is complex. Lot of patience and practice required.
Different Types of charts:Bar charts, Line charts and candle sticks charts are widely used charts.
Candlestick chart is important for good technical reading of current market situation. Such a setup is good for daytraders and short-term traders but also for active investors. These historical charts provide much better picture for a price behavior research.
Line Charts. Line charts are the most basic type of chart because it represents only the closing prices over a set period. …
Bar Charts. Bar charts expand upon the line chart by adding the open, high, low, and close – or the daily price range.