Fundamental & Technical Analysis

Price of the individual stock is determined by demand and supply
Study of a company or product in detail is call fundamental analysis. It is a method of evaluating intrinsic value of an asset and analyzing the factors that could influence its price in future.
Technical analysis is the trading discipline employed to identify the trading opportunities by analyzing statistical trend gathered from price movements and volume.
Technical analysis focus on patterns of price movements, trading signals and various other and various other analytical charting tools to evaluate security’s strength and weakness.
Pros and cons of fundamental analysis
Pros
Very useful for long term investments
As it studies complete financial aspect of the company it gives valuable result
Cons
It is time consuming and complex
Fundamental analysis is both quantitative and qualitative. We may able to get the quantitative information easily. But qualitative information that we get outside may be from the highly influential people which may or may not be right always. So there is no guarantee that we are analyzing the right information alone.
Pros and cons of Technical analysis
Pros.
Data required are easily available and reliable
Easily understood with some basic knowledge
Gives idea of entry and exit
Cons
It cannot be effectively used for long term investments
It requires years of experience to exactly determine the right movement of the market
Different type of charts
Line charts: Price of day 1 to day N are marked as dots and are then connected through line. More data points better to go in for line charts. If we need to analyze more data points better to go in for line charts
Bar Charts. This gives little more detail on the particular day. At what price trading started on a particular day and at what price it ended.
Candlestick: