Technical analysis has formed many categories, among which Dow theory and wave theory are more representative. The premise of technical analysis is that market behavior contains and digests all information, prices fluctuate in a trend way, and history will repeat itself.
The basic analysis assumes that the price of securities is determined by its intrinsic value, and the price changes frequently due to political, economic, psychological and other factors, so it is difficult to be completely consistent with the value, but it always fluctuates around the value.
According to the conclusions drawn by major dealers:
Fundamental analysis: high winning rate, high profit, high loss and efficient seed selection.
Technical analysis: low winning rate, low profit, low loss and inefficient variety selection.
Therefore, when the two analysis methods are reliable and mature, and can achieve stable profits and pursue higher profits, the combination of the two will be adopted in the end.