Fundamental analysis and technical analysis in investment management

Fundamental analysis -  To determine the intrinsic value of the equity stock, the security analyst must forecast the earning and dividends expected from the stock and choose the discount rate which reflects the riskiness of the stock .  this is  what is involved in  fundamental analysis perhaps the most popular method used by investment managers

Types of fundamental analysis

Macroeconomic analysis

1. Growth rate of gross domestic product
2. industrial growth rate
3. agriculture and monsoon
4. savings and investment
5. government budget deficits
6. price level and inflation
7. interest rates
8. balance of payment, forex reserves and exchange rate
9. infrastructural facilities and arrangements
10. sentiments

Industry analysis

1. Industry life cycle analysis
2. Study of the structure and characteristics of an industry
3. profit potential of industries (porter model)

Company analysis ( financials)

1. Earning and dividend level
2. Growth performance
3. Risk exposure
4. Valuation multiples 

Technical analysis - technical analysis of security analysis methodology for forecasting the direction of prices today study all the parts market data, primary price and volume .

Types of technical analysis

Chart analysis

1.  the Dow theory
2. bar and line charts
3. point and figure chart
4. relative strength analysis