Do I Need to Hire a Fundamental Analyst?

Turveyd · Jan 18, 2017

Everyone thinks there a genius in a bullish market then everyone jumps out of high windows when it turns bearish and they lose it all.

The Trick is to only do what your doing as long as the Bull Market runs, the issue is, you'll likely stop wayyyy short of it.

Tim Smith · Jan 18, 2017

learner2007 said:
Boy, it must have been a lot of work interviewing all the most successful traders in the world! But I don't remember hearing from you!

Your request for an invitation to my block list has been granted. I gather you are in good company. Goodbye learner2007.

algofy · Jan 18, 2017

Yes hire a FA in your hedge fund

Scataphagos · Jan 18, 2017

RUFUS MREHIN said:
the question is do i need to hire a fundamental analyst in the future??

I say "no".

The charts show what players are actually DOING with their money. That's what you need to be in-tune with as much as possible.

lovethetrade · Jan 18, 2017

Do I Need to Hire a Fundamental Analyst?

Not until you've worked out technical analysis.

birzos · Jan 18, 2017

You mean exploratory analysis like this.

ABBV AbbVie

https://imgur.com/i6H8Ff0

BA Boeing

https://imgur.com/fbqax0M

BBY Best Buy

https://imgur.com/pFS0gN7

CAT Caterpillar

https://imgur.com/jeA8Pmk

COH Coach

https://imgur.com/4Dt7en1

Scataphagos · Jan 18, 2017

RUFUS MREHIN said:
iam not trying to analyze direction but more so fundamental value

Sounds like you're searching for support for your desire to justify "fundamental analysis something".

Fundies are always subjective and often incomplete... that is, fundamental analysis often misses things of importance... some of which is intentional deception.

Going to say this one last time. FORGET FUNDAMENTAL ANALYSIS. Whatever fundamentals are important will be reflected in the charts. If it's not "in the charts", it's not important. When "something fundamental becomes important", its anticipation will already have been reflected in the charts.

Feel free to disagree.

Handle123 · Jan 18, 2017

The founder, William O'Neill, of Investor's Business Daily has written some good books on trading/investing in books based on Fundamentals and TA, I actually like his approach CAN SLIM
https://www.google.com/?gws_rd=ssl#q=william+o'neil+books
https://www.google.com/?gws_rd=ssl#q=canslim+method+pdf
http://www.investors.com/ibd-university/can-slim/
http://www.readtheticker.com/Pages/IndLibrary.aspx?65tf=168_william-j-oneil-canslim
And
http://investors.morningstar.com/ne...ulture=en-US&ProductCode=mle&resourceId=83565

Of all the approaches I have read on stock trading, this only one I know works as I use to trade it in late 1980s/90s, but now I use charts, TA. If I am iffy on a stock, I will take a look at the fundamentals if I am seeking more of a dividend long term keeper. Sometimes, not often, but sometimes the FA will explain what their future might show and not the chart, like if they expensed huge one year cause they wrote off accounts receivable due to another company going belly up, or new accounting system, but if they continue to have more revenue 3 of last 4 years, sales continue to increase can explain away what the charts are showing.

But I was doing CAN SLIM for number of years as it made sense to me, but then the years I was trading it was start of huge Bull market and monkey throwing darts might have done as well or better. I don't use it as much now cause of automation whipping through 15,000 stocks looking for gem as I usually stick to 50 stock/ETFs to trade both up and down. I try to stay with non dividend stocks and ETFs to short as I don't want to have to pay dividends, but if a stock just paid their dividends, I would short it as most of my stocks trades have three month or less durations, whereas be long for years type stocks I collect the dividends. Either buying core of stocks once every 10-20 years when market makes huge decline OR watch commodity markets and looking for ten year lows then look for stocks that will be showing bottoming and buy those where they have dividends like Crude Oil or Coffee companies, you can get in much cheaper thereby getting much bigger percentage dividends, but as stock rises, percentage lowers as all based on value of the stock when bought.

pyradius · Jan 18, 2017

When you say 'hire a fundamental analyst' why not just accentuate your personal knowledge with a service like Morningstar or somesuch?

systematictrader · Jan 18, 2017

learner2007 said:
A Security Analyst at a broker has access to all available information. But if you just ask the opinion of someone who uses FA, he will not have all the information needed to give you the best possible opinion. And even if you could speak to 10 SA's, you'd surely get a mixed bag of answers. I know a number of ex-SA's who say just this. The SA's handicap is trying to predict what's going to happen 6 or 12 months down the road, which even the company itself often can't get right!

this is a good point i didnt think of,,, that they all might have different answers,, thanks

Do I Need to Hire a Fundamental Analyst?

lovethetrade