Posted by: tyrannyoflogic November 12, 2011
its all about trading and investment....
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@ wits end,
thanks but no thanks !! I'd pick technicals over fundamentals any day...
All that matters to me is the price action of the stock..who cares what the company is worth...there may be a buyout and there might not be a buyout..who knows
I will look at fundamentals but I trust the technicals.

The way I look at it, a company's stock is only worth what the buyers and sellers decide the price to be (setting aside buyouts which is clearly luck cuz u really dont know...) and technicals evaluate the emotions that goes into these pricings

and besides there are analysts at wallstreet who do that and even they are wrong sometimes...

On a separate note, for instance the earnings/revenue estimates which are derived from the fundamentals...if the company misses the earnings consensus by even a penny..then the stock gets punished ...like AAPL and AMZN recently
Holding till earnings is a gamble anyways ..at least for me ..

The bottom line is everyone buys or shorts a stock to make money. Do you really think you and I (regular people not "analysts" ) exactly know what the company is worth and what its future looks like?
We might have some idea but it aint enough for me to dump my money based on that info cuz I know I dont know enough about the company. I am not saying fundamentals are BS but I sure think its not dependable whenever you are trading or even investing.
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