Identify top down and bottom up analysis in stock market.
If the alien technical analysis is applied to the wrong stocks you cannot get right results. There are two types of stocks analysis that go on in the market top down and bottom up.
Top down
This is how technicians view the market. The markets main 10 play and integral part in where any stock is headed. Just as a rising tide lifts all boats whether big or small, so too rising market views of all stocks to a greater or lesser extent. So it is the main changed of the market that a technical trader first 62 figure out.such an analyst next looks at the end of the particular sector or industry, and only then comes the trend of a particular stocks.
Bottom Up
Bottom up analysis consists of analysingeach individual company based on its earning cash flow growth prospects are reviews of its balance its profit and loss settlements etc. It is generally used by fundamental analysis and other market players who are hunting for value.search analysis is of little value to technical traders as it does not sufficiently position the odds and their favour. Thanks day typically look at top down analysis.
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