Fundamental analysis of a business involves analyzing its financial statements and health, its management and competitive advantages, and its competitors and markets. While, Technical analysis is a security analysis discipline for forecasting the future direction of prices through the study of past market data, primarily price and volume Element F.A vs Element T.A
Financial Statements vs. Charts
A we know, fundamental analyst starts with the financial statements , while a technical analyst 
approaches a security from the charts. By looking at the balance sheet, cash flow statement and income statement, a fundamental analyst tries to find out a company's value. On the other hand, an analyst attempts to determine a company's intrinsic value. In this approach, investment decisions are fairly easy to make - if the price of a stock trades below its intrinsic value, it's a good investment. Although this is an oversimplification (fundamental
analysis goes beyond just the financial statements) for the purposes of this tutorial, this simple tenet holds true.
Investor that more on technical analysis(technician), on the other hand, believes there is no reason to analyze a company's fundamentals because these are all accounted for in the stock's price. Technicians believe that all the information they need about a stock can be found in its charts.
Duration
Fundamental analysis takes a quite long-term approach to make analyzing the market compared to technical analysis. While technical analysis used on a time frame of weeks, days or even minutes, fundamental analysis often looks at data over a number of years. The different time frames that these two approaches use is a result of the nature of the investing style to which they each adhere. It can take a long time for a company's value to be reflected in the market, so when a fundamental analyst estimates intrinsic value, a gain is not realized until the stock's market price rises to its "correct" value. This type of investing is called value investing and assumes that the short-term market is wrong, but that the price of a particular stock will correct itself over the long run. This "long run" can represent a time frame of as long as several years, in some cases.
Investing Versus Trading
Both approaches have different goals of a purchase (or sale) of a stock. In common, technica
l analysis is used for a trade, while fundamental analysis is used to make an investment. Investors buy assets they believe can increase in value, while traders buy assets they believe they can sell to somebody else at a greater price. The border between a trade and an investment can be unclear, but it does characterize a difference between the two schools
The Comments and Critics
Some people said see technical analysis as a form of black magic. Don't be surprised to see them question the validity of the discipline to the point where they mock its supporters. In reality, technical analysis has only in recent times begun to enjoy some mainstream credibility. While most analysts on Wall Street focus on the fundamental side, just about any major brokerage now employs technical analysts as well.
The criticism of technical analysis ,specifically, the efficient market hypothesis (EMH). This theory says that the market's price is always the correct one - all past trading information is already reflected in the price of the stock and, therefore, any analysis to find undervalued securities is useless and wasted.
After all it's only the critic, whether Fundamental or Technical , it's up to investor or people who used it for their investment.
is always be nightmare for those people who too late to realize about financial planning. based on analysis, 70% of EPF holder finished their money after retirement within 3 years. we as young generation should think, how we can survive when time's come... the way is buy asset..robert kiyosaki said once, people a lot misunderstand what is asset, for him asset is stock, bond, and other types of investment because with that only you can survive.. so be wise in your life...
is always be nightmare for those people who too late to realize about financial planning. based on analysis, 70% of EPF holder finished their money after retirement within 3 years. we as young generation should think, how we can survive when time's come... the way is buy asset..robert kiyosaki said once, people a lot misunderstand what is asset, for him asset is stock, bond, and other types of investment because with that only you can survive.. so be wise in your life...
