Fundamental or Technical

For share investment, fundamental and technical analysis are 2 ways for studying markets. Applying one of them without considering the other is dangerous, at least not efficient. This is just method, possibly this is the most unimportant part for trading. Many times, it is human emotions control share price up and down, not from the fundamental. One saying is 'the market is always right', the other saying might be more accurate, 'the market is always wrong'. If market is always right, why there is always sharp share price movement every day. 2 analysis should not violate each other. Fundamental should be the core to consider, technical analysis should be more concentrating on timing and money management or if wrong, what I do. Stick to the company study, or run away.

On the other hand, it is money management or discipline that separate winners from loser. Does it mean, if you randomly select share, long or short, as far as you are following your money management rule, you can earn money as well. No, it may just mean you can survive in the dark forest with hungry wolves. It does not mean you are the top killer or hunter.

Compounding rate is the most amazing thing in the world, but consistently achieving this is so hard. Most people, including me will lose substantially in the first year or two in market. Most people will never come back. Reading book is only the first step, control yourself, or mind is the core part in success. Now, share trading will become one of core topic in my blog. Let it get started. Have a goal, have confidence,