| The primary motive for any trader, investor or speculator is to make trading as profitable as possible. Primarily two techniques, fundamental analysis and technical analysis, are employed for making buy, sell or hold decisions. The technique of fundamental analysis is believed to be ideal for investments involving a longer time period.
It is more research based; it studies demand-supply situations, economic policies, and financials as decision-making criteria. Technical analysis is commonly used by traders, as it is appropriate for short term judgment in the markets--namely, deciding a quick buy and sell, entry and exit points, etc. It is pictorial; it analyzes the past price patterns, trends and volume to construct charts in order to determine future movement...............................................Full Article: Source
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