Home  Journals  Finance and Credit  7(835) - 2023 July

Fundamental analysis vs technical analysis: Are investors' long and short positions related to their sentiment?

Received: 8 September 2022

Received in revised form: 10 April 2023

Accepted: 24 April 2023

Available online: 31 July 2023

Subject Heading: INVESTING

JEL Classification: G14

Pages: 1477–1495

https://doi.org/10.24891/fc.29.7.1477

Subject. This article examines the relationship between long and short positions of investors and their sentiment.
Objectives. The article aims to determine the relationship between the emotional component and the sector of investment.
Methods. For the study, we used the methods of induction and deduction, statistical methods for processing the results of observations, methods of physiognomy in determining the emotions of investment decision makers.
Results. The article reveals the content of methods for taking into account the emotions of investors when choosing an investment sector and describes the results of research on practical situations in the field of investment decision-making based on fundamental and technical analyses.
Conclusions and Relevance. When taking into account new indicators, the analyst has the means to bring the forecast result closer to real conditions, when in addition to traditional indicators, emerging combinations of traditional and psychological indicators in the markets give a new interpretation of the events taking place there. This improves the quality of analytical work and its results. The use of new indicators complements and expands the classic analytical tools, improves the quality of forecasts in the markets. The results of the research described in the article can be applied in the work of a nowadays market analyst.

Keywords: fundamental analysis, technical analysis, behavioral finance, market anomaly, quotations

References:

1. Alikberova E.O., Kirillov D.S., Malakhov S.V. [Methods of technical analysis of graphs]. Innovatsii. Nauka. Obrazovanie, 2022, no. 53, pp. 1150–1155. (In Russ.) URL: Link
2. Tailak A.E. [Fundamental and technical analysis of the stock market]. Aktual'nye problemy sovremennosti, 2018, no. 2, pp. 119–123. (In Russ.)
3. Gorbatikov A.A., Mikulenkov A.S. [Application of digital twin technologies in predictive analytics and solving business problems]. Uchenye zapiski Mezhdunarodnogo bankovskogo instituta = Proceedings of International Banking Institute, 2022, no. 2(40), pp. 57–71. URL: Link (In Russ.)
4. Demidov R.V. [Fundamental and technical analysis on stock markets]. Molodoi uchenyi = Young Scientist, 2018, no. 15, pp. 17–19. URL: Link (In Russ.)
5. Makrushina I.S. [Fundamental analysis of the financial market: essence, technology, negative and positive aspects]. Ekonomika i predprinimatel'stvo = Journal of Economy and Entrepreneurship, 2022, no. 3, pp. 57–60. (In Russ.) URL: Link
6. Nguen T.Kh.M. [Theoretical aspects of the concept and practice of fundamental analysis]. Tendentsii razvitiya nauki i obrazovaniya, 2020, no. 66-3, pp. 40–45. (In Russ.)
7. Klyuchnikov I.K., Nikonova I.A., Klyuchnikova A.I. [Financial market: state analysis (Markov models)]. Uchenye zapiski Mezhdunarodnogo bankovskogo instituta = Proceedings of International Banking Institute, 2022, no. 2(40), pp. 114–151. URL: Link (In Russ.)
8. Mandzhieva E.S., Abalakina T.V. [Technical analysis and its use in stock trading]. Finansovaya zhizn' = Financial Life, 2022, no. 1, pp. 121–127. (In Russ.)
9. Shashina I.A. [Problems of financial pyramids identification by retail investors]. Uchenye zapiski Mezhdunarodnogo bankovskogo instituta = Proceedings of International Banking Institute, 2022, no. 3(41), pp. 176–190. URL: Link (In Russ.)
10. Kuznetsov V., Kharlamova I. [Fundamental analysis in the methodology of investment decision making on the example of PJSC "Lukoil"]. Mirovaya nauka, 2020, no. 7, pp. 49–56. (In Russ.) URL: Link
11. Kucherov A.V. [Fundamental and technical analysis of the FOREX market]. Zhurnal nauchnykh i prikladnykh issledovanii, 2015, no. 4, pp. 19–20. (In Russ.) URL: Link
12. Alekseev I.M. [Multiples approach and Alfred Marshall's theory: synthesis and hypothesis]. Uchenye zapiski Mezhdunarodnogo bankovskogo instituta = Proceedings of International Banking Institute, 2021, no. 4(38), pp. 7–23. URL: Link (In Russ.)
13. Tegin A.V. [Analysis of methods for estimating the value of bonds with embedded options]. Upravlenie finansovymi riskami = Financial Risk Management, 2020, no. 1, pp. 42–49. (In Russ.) URL: Link
14. Kokh I.A. [Technical analysis as a tool for making portfolio decisions]. Ekonomicheskie nauki = Economic Sciences, 2009, no. 6, pp. 90–96. (In Russ.)
15. Sal'nikov A.S., Strel'tsov R.S. [Technical analysis of financial markets]. Evraziiskoe nauchnoe ob"edinenie, 2018, no. 8-2, pp. 51–53. (In Russ.)
16. Ketova K.V., Shishova A.V., Dorofeeva S.R. [Technical analysis of financial markets using market indicators on the example of Samsung shares]. Vektor ekonomiki, 2021, no. 2, p. 34. (In Russ.) URL: Link
17. Zveryako V.S. [Technical analysis and its application in algorithmic trading]. Alleya nauki, 2018, vol. 7, no. 5, pp. 1101–1104. (In Russ.) URL: Link

View all articles of issue

ISSN 2311-8709 (Online)
ISSN 2071-4688 (Print)

Journal current issue

Vol. 30, Iss. 4 April 2024

Archive