All global investments which seek profiting from the financial markets start from defining the market makers’ question: How is the price of every financial instrument formed on the market?
The price of every financial instrument is a reflection of the worth of the financial instrument and the underlying assets, which loses value or gains value depending on the direction in which the price moves.
The price may register the value and worth of everything a public company does or does not do, in the same way everything may be registered in the price of a financial instrument – the investors perceptions, the activity on the market, the market structure, the supply and demand etc., which is an indication of the trend towards loss of value or acquiring of value – all reflected in the price.
The activity of the price movements is setting the parameters of the price fluctuations, defining the reachability of the price movement – what price the financial instrument may reach as a VALUATION before falling, or what price the asset may fall to before reaching a new high.
Global price movements are result of the activity of the value of the prices on the global markets. Prices move in trends created by the market conditionings and the worth of a financial instrument, in correlation or divergence to the total worth of all fiancial instruments. Price movements have their peaks and bottoms where the prices reverse and create new trends, new market directions for buying and selling.
With classified hedging investment systems for trading – the profitability from trading the price fluctuations and moves is always possible – day after day as the market works.
The most profitable system for trading the stock market is subject to intellectual property and is classified information.
The investing in the worth of an asset by fundamental analysis not by technical, algorithmic or automated trading, is based on fundamental modeling of the properties of the assets, their previous market action performance and data analysis for the future price.
Fundamental analysis research and identification of market trends seek to explain the WHY of the price movements, while the technical investing based on programs, indicators for trading explains HOW whether it is sell or buy any time the price reaches a level that triggers a signal.
Fundamental analysis research generate more profitability than any known and available program for investing. All known and available programs for trading are used by the public. Everything available and used by the public is not generating such profits as specialized investing and trading do.
All available programs for trading on the financial markets do not detect the price of the financial instrument to define the future price, and are computerized models based on statistical calculations of the price. They do not explain why and what value the price will reach.
Identifying the market structure in terms of volatility is a condition for investing in the price action. Investing in highly volatile markets is based on a fundamental analysis to making money on the financial markets.
Price movements tend to formulate their own value for every financial instrument – whether the investing is in stocks, commodities, derivatives, ETFs, CFD or cryptocurrencies.
Identification of the price of a financial instrument as the leading indicator is used for price modeling and data for investment analysis for investing on all markets and trading platforms.
How to trade on the global financial markets?
The price may not function and be traded according to any algorithmic programming, indicators or financial technical system for investing as it is not a fixed statistical model of functionality according to a designation. The price of every financial instrument, whether stocks, bonds, ETFs, CFD, Forex trading has its own principles of functionality, its own formulations, modeling and its own value.
Value investment is an alternative way to technical and fundamental analysis trading on the global financial markets.