Fundamental and technical analysis can work in conjunction for finding the best possible trades. The combination of fundamental and technical analysis provides a very viable universe of high quality trades when applying candlestick signals. Consider the advantages that occur when both fundamental and technical analysis is utilized for investment decisions. What should be the best universe of stocks? Those stocks that have a fundamentally sound background. There are analysts out there that discover and recognize fundamentally strong companies.
Unfortunately, they feel that buying and holding is the best investment strategy. The rationale being that a fundamentally sound company will eventually be discovered by the rest of the market. That usually means their timing stinks.Candlestick signals have a very viable benefit to the combination of fundamental and technical analysis. If a universe of stocks is developed with the criteria being that they are fundamentally strong companies, this greatly reduces the probabilities of being surprised with bad financial numbers. However, being in a fundamentally sound/strong company does not necessarily mean a stock price is going to appreciate. What makes prices move up or down? The perception of what the fundamentals can do is what makes prices move.
Utilizing candlestick signals is a very strong benefit for investing in fundamentally sound companies. The signals illustrate when investors are getting into and out of stock positions. Fundamental and technical analysis should be exploited to its fullest potential. Analyzing the universe of fundamentally sound companies with candlestick signals allows an investor to time their positioning in strong companies. Theoretically, all sound/strong fundamentally run companies should go up. Reality proves differently, as seen in the late 1990s, money did not flow into the fundamentally sound companies. Massive amount of funds flowed into companies that had no fundamentals at all.
When is it time to buy a stock? It is when the markets perceive that it is time to be in that stock/sector. The candlestick signals clearly illustrate when funds flow from one sector to another. Utilizing the information conveyed from the candlestick charts can produce a very strong trading strategy when trying to time the purchase of stocks that have good management/earnings growth. Investor sentiment can be easily recognized when interest starts coming into a stock position. The signals and the patterns found in investor sentiment will always be the same. The ability to recognize candlestick signals within these patterns dramatically improves an investor’s probability for making profits. The Candlestick Forum has packaged the high profit patterns into a special price package.
The visual analysis, when utilizing these signals, is very simple. High profit trades become easily recognized, especially when candlestick signals reveal the potency of a pattern. Click here for details on the Advanced Pattern Analysis Package.
Option trading
Once the patterns and signals reveal a high potential trade, being able to maximize the profits from that trade, is the next logical step. Options strategies become the logical process for extracting very large profits. Knowing what option strategy to implement for the time and magnitude that a price move can potentially fulfill requires the understanding of profitable option strategies. Learning the correct option techniques greatly enhances an investor’s ability to exploit profits from a strong candlestick signal while at the same time minimizing risk exposure.
Options University provides an excellent training program for implementing options strategies. The minimum time and effort that it takes to become educated from the Options University training program allows an investor to extract large profits from the markets. Combining the knowledge of candlestick analysis with the insightful knowledge conveyed by Option University puts investors in the position of controlling their own high profit strategies for the rest of their lives.
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