I am new to investing, and was just wondering how important is it for investors to learn technical analysis when evaluating stocks, and what specific benefits does understanding technical analysis offer in making informed investment decisions?
If everyone could learn how stock pattern works, wouldn’t everyone just be rich, obviously no one can predict everything, but if learning the chart pattern is useful why wouldn’t everyone do it to buy/sell?
In: Economics
Most people in investing would tell you, a private regualr guy that you don’t need to know anything about investing. You should put your money in an S&P 500 fund or similar stock or mutual fund that tracks the overall market, and thats it, thats all you need to know or do.
So if you’re asking how important it is, the answer is, its almost certainly not important. It is important for people who trade stocks for a living, who are doing more complex trading strategies, generally with other people’s money, not their own. Or maybe its not. It depends. There are many people who think that these guys trading all day are not particularly better than just investing in the market like above.
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