Analysis

What Is Market Analysis?

A market analysis is a qualitative and quantitative evaluation of the external market and your internal resources. Thorough market analysis adequately assesses opportunity, value, risk, competition, economic conditions and helps you make better decisions and improve your success as a trader.

What Can Market Analsis Do For You?

Analysis is useful when forecasting the future prices of an underlying asset based on past patterns and trends. It provides useful information prior to making decisions. How? By examining the economic, political, and social forces that may have an impact on assets

Analysis Types

Technical Analysis

Technical analysis entails examining past historical data of assets to identify patterns, how they repeat, when they repeat, and why the asset exhibited that behavior. In this manner, the trader will be able to make an accurate prediction about the asset’s near future price.

Fundamental Analysis

The impact of financial events and news on the prices of financial instruments is used in fundamental analysis. When it comes to stocks, it considers public data such as revenues, earnings, future growth, and return on equity to determine the company’s future potential. Economic Calendar is one of the tools that will notify you of upcoming financial events.

Sentimental Analysis

Sentimental analysis is a qualitative measurement of a trader’s attitude toward financial markets in general, or specific instruments in particular. Long-term market performance is influenced by one’s willingness to invest or refrain from investing. Sentiment analysis is also the general public’s opinions, feelings, or approaches that shape market psychology.