This demand coupled with advances in trading technology has opened up the markets so that nowadays nearly anybody can own stocks. It uses basic financial status of companies and macroeconomic data such as exports, imports, money supply, interest rates, foreign exchange rates, inflationary rates, etc. Also included here explanation of stock market terms and jargon used by people involved in trading stocks and shares. Stock market is an organized market for the purchase and sale of industrial and financial security.
Technical analysis is frequently used as a supplement to fundamental analysis rather than as a substitute to it. Stock market is also known as stock exchange or share market in all over the world. Before investing in a market before investing, it is always wise to learn the basics of stock market. While technical analysis can be used on a timeframe of weeks, days or even minutes, fundamental analysis often looks at data over a number of years. Not only are there many concepts and technical terms to decipher, but nearly everybody will try to give you conflicting pieces of advice. Fundamental analysis takes a relatively longterm approach to analyzing the market compared to technical analysis. According to technical analysis, the price of stock depends on demand and supply in the market place. Over the last few decades, the average persons interest in the stock market has grown exponentially. Fundamental analysis, in general, makes forecast on the base of macroeconomic data. In smee, modules collected in box named fundamental analysis tools consist of. We have compiled articles and tutorials on the share market basics. Fundamental analysis if youre buying a stock, you should be able to explain your purchase analytically. What was once a toy of the rich has now turned into the vehicle of choice for growing wealth. It is one of the important constituent of capital market.