Maybe it goes without saying, but learning how to analyse the stock market is crucial to succeeding as a stock trader. There are several ways to do this and most investors split stock analyses into two different categories: technical analysis and fundamental analysis.
Two ways to analyse the market
When analysing a stock using the technical analysis, you look at the stock and the company itself looking for opportunities to invest or trade on. By comparing revenue, stock prices, and by using calculations such as the P/E ratio, you can try to predict how a company stock will develop.