If you need to ask for some advice on stock investment, then I believe you will not be willing to get those long stories. What you need should be investment advice based on a lot of data and information analysis.
You need to know that investment technicians or financial experts often use the historical information of the stock market and a large number of economic data to analyze the future price trend of stocks and estimate the potential of companies. In addition, in order to let investors see the changes in the stock market intuitively and simply, these technicians usually draw a lot of charts and publish them to investors.Therefore, no matter how accurate these indicators and data are, they cannot guarantee that the future development trend of the stock market will follow the direction shown in these charts. We can only use these charts as an auxiliary tool to roughly judge some trends.
The unpredictable events that affect the development of the stock market are generally external events that make all technicians helpless. You need to know that almost every stock analyst acknowledges that the stock price will change rapidly due to the impact of various events. Therefore, some external events, such as changes in the political situation, the occurrence of disasters, or the prevalence of viruses, will significantly affect the stock market in a short time. Stock technicians generally find it difficult to predict the occurrence of these external events because they are sudden and accidental.
However, you need to believe that the adjustment ability and state recovery ability of the stock market are practical. The change in stock price can not affect the development law of the stock market and the confidence of investors in some aspects. Therefore, technical analysts of stocks generally consider that the stock price will rebound in the future and draw these charts as cyclical fluctuations. You need to know that one advantage of investing through technical analysis is that you don't have to pay attention to the popularity or scale of companies. What you need to consider is the guidance that data analysis brings to you and the potential value of these companies. Therefore, you may get an inevitable return on the investment of some small companies.
However, a significant disadvantage of technical analysis is that it cannot guarantee that investors will invest correctly for a long time. Technical analysis needs a lot of data as the basis and is affected by many unpredictable factors. With the growth of the investment period, it will become more and more difficult to accurately predict the development trend of the stock market. Therefore, if you use technical analysis to invest, you may need to make a trading decision in a short time. In addition, you may need to keep an eye on the development of the stock market so as to complete transactions repeatedly and earn profits.
In summary, the technical analysis investment method has a lot of support foundation and resistance influence. You need to believe in the scientific and objective nature of the technical analysis. However, you need to consider the impact of external events and the stock volatility caused by time growth.
