Fundamental Analysis
Fundamental analysis is the qualitative examination of financial markets; it is used to assess the health of a market and its components. Trading on fundamentals rather than technicals is sad to be a significantly more challenging method — but one that might justify higher returns for those who learn it. The three major components of fundamental analysis are economic, company, and industry analysis. Each has its own set of tools that traders may use to judge if a given investment is worthwhile. Because fundamental analysis is used to determine an asset’s intrinsic value, it may be used to analyse and make decisions on instruments such as corporate or government bonds, stocks, currencies, and even commodities. Click on the links below for further information on the different subjects of fundamental analysis.
Introduction to Fundamental Analysis (Economy)
Fundamental analysis is the qualitative examination of financial markets; it is used to assess the health of a market and its components.
What is Fundamental Analysis
Government/Economy
The employment report is one of the most significant economic announcements, and it is the first to offer statistics for the previous month.
Employment and jobs report
The Consumer Price Index (CPI) is a tool used to measure the average change in prices paid for goods and services by consumers throughout a ............
The Producer Price Index (PPI) tracks the average change in the prices domestic producers get for their products over time.
This consumer confidence index forecasts future household spending and saving trends based on responses to questions.......
Consumer Confidence Index
A measure of the prices paid for products and services by Americans or those purchasing on their behalf in the United States.
Personal consumption expenditures
As the U.S. Dollar is the world's reserve currency, investors worldwide look to understand the dollar's intrinsic value through fundamental analysis.
Retail sales include in-store and catalogue sales, as well as various out-of-store sales of durable (lasting more than three years) and non-durable items.
Building permits are an essential indication for forecasting future house starts. A rating that is higher than expected is typically positive (bullish).
Building Permit
Construction spending refers to the money spent on building and repairing structures like houses, commercial buildings, roads, and bridges.
Gross Domestic Product (GDP) measures the total value of all goods and services produced within a country in a given year.
A yield curve helps understand the bond market's relationship between yields (the interest on fixed-income assets) and maturities.
Monetary policy refers to the measures that a central bank, such as the Federal Reserve in the United States or the Bank of Japan .............
Fiscal policy refers to the government's use of taxation and spending to influence the economy. It is a critical tool that .........................
Inflation quantifies how much the general price of goods and services in an economy has risen over time.................................
Introduction to Fundamental Analysis (Company)
Fundamental analysis in finance, as it relates to stocks and shares, is a way of determining a stock's inherent worth. It brings together..........
The structure of a firm refers to how the company has been set up by its owners and the interactions between its many elements and positions.
Revenue is typically reported on a company's income statement and is an essential factor in determining the profitability of a company.
A company's revenue is the total amount of money it generates from selling its goods or services. It is often referred to as "sales" or "turnover."
Profit history refers to a company's profitability over time, typically represented in financial statements such as income statements or balance sheets.
Corporate governance refers to the rules, practices, and processes by which a company is directed and controlled................
The turnover rate is a measure of how frequently employees leave a company. It is a percentage of the total number of employees at the company.
Company’s Debt