Most notably, fundamental analysis of companies and their stocks is almost entirely useless to the day trader. When it works at all, FA focuses on large issues (balance sheets, imbalances in macro-economic forces, or changes in consumer trends) which take months or years to play out. From that perspective, price action which takes place over the course of minutes or hours is nothing but noise and FA offers no insight into how to enter or exit a trade of such short duration.
Monday, May 16, 2011
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day trade alerts Huh
Most notably, fundamental analysis of companies and their stocks is almost entirely useless to the day trader. When it works at all, FA focuses on large issues (balance sheets, imbalances in macro-economic forces, or changes in consumer trends) which take months or years to play out. From that perspective, price action which takes place over the course of minutes or hours is nothing but noise and FA offers no insight into how to enter or exit a trade of such short duration.