Often investment activities have some things that are difficult for ordinary people to understand. For example, making decisions when you want to buy or sell stocks. But actually you can make this decision by analyzing stocks. Stock analysis is a tool that can help you understand the state of a company. This stock analysis can also help you to read the graphics found in the stock market so that you will not have difficulty interpreting the graphic graphics. Here are the definitions, types, and applications that you can use to do analysis. However, before the discussion, you can download application of GIC to get updates about today's analysis.

Definition of What is Stock Analysis

Judging from the Great Dictionary of the Indonesian Language, analysis is a standard form of the word analysis which is an investigation of an event to find out the actual situation. Analysis can also be interpreted as the study or decomposition of a part and looking for relationships between parts to be able to obtain the concept as a whole. So stock analysis is dissecting or analyzing the shares of a certain company to find out and assess the company's performance over several periods. This analysis is carried out so that we can get an idea of the future growth and development of a company. To do so, there are about 2 approaches that we can do, namely fundamental analysis and technical analysis.

Fundamental Stock Analysis

Fundamental stock analysis is in principle general to the performance of a company or stock issuer. It is different from technical analysis that is more specific to the historical stock price. In this analysis, the fundamentals and performance of the company, such as the sentiment that will drive the stock price, will be considered. Examples include financial performance, future industry potential, business competition levels, and macro and micro market analysis. This fundamental analysis is suitable for investors whose investment focus is long-term because the scope of the analysis is more general. There are two approaches to this fundamental analysis, namely top down and bottom up. Fundamental stock analysis will be just as important as technical analysis. Likewise, filling out an internal survey will be very important for the progress of our platform. Then you can fill it out so that you can participate in the development of the GIC platform.
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Bottom-up fundamental analysis approach

Bottom-up fundamental analysis is the opposite of top-down analysis which looks at the overview of a service company. This analysis requires investors to see the company's performance in detail. For example, we will immediately look at the company's financial statements and business competitiveness. This one approach will make investors deepen their assessment of a company's performance.

Top-down fundamental analysis approach

Using top-down fundamental analysis will help investors in looking at the company's performance in general. The principle held in this analysis is that if the company works well in general, the company's components will also be considered good. Judging from Fundsupermart, there are about 4 points of consideration in this approach, namely domestic macroeconomic conditions, global macro economic conditions, company fundamentals, and growth prospects per business sector. If the four points give a positive picture, the company is considered to have good future job prospects.

Technical Stock Analysis

Technical analysis takes a more technical approach than fundamental analysis. This technical analysis is a way to analyze stock prices in the capital market using statistical tools. It can take the form of a price history graphic and a mathematical formula. This analysis is carried out so that investors can find out the current market conditions using past prices and also provide an overview of how stock prices will be in the future. Just like fundamental analysis, technical analysis is also useful for long-term investors. Because from an investor's perspective, this analysis will help them determine when is the right time to buy stocks. As for traders, this analysis is suitable to be used as a reference in determining stocks that can make money in the short term. Due to its technical nature with fast movements, it is more commonly used by traders. In contrast to fundamental analysis that is often used by long-term investors. This stock analysis can show you stock price charts, support and resistance, the right time to buy and sell, and trends that are happening. Analyzing your technical stocks can be tested by doing a Preliminary Test from GIC and find out how far you are at trading! 

Preliminary Test

How to Analyze Fundamental Stocks

Fundamental stock analysis is usually used by investors who want to make short-term investments because this analysis can help them to make decisions in buying stocks. There are several ways we can analyze fundamental stocks, which are as follows.

Monitor and evaluate stocks regularly

Buying stocks is not complete just by buying them at a cheap price or selling them at a high price. Because you can't know when the price will rise or fall, therefore you must always pay attention to the movement of stocks from time to time so that you can get a large return on your investment.

Set a fair price reference for stocks

You should also determine a good price when buying stocks. Usually, investors will look for stock prices that are below the value of the company. The price reference that you set must also be reasonable and should not be affected by market movements. To determine it, you can use relative valuation techniques and intrinsic valuation.

Pay attention to the company's performance and condition

We need financial statements as a basis for assessing the value of stocks. It also helps us to know the company's performance and condition before buying shares of a particular company. Not only making sure the performance is good or not, you also have to know whether this performance can last in the years to come. Make sure to buy stocks that can give you a sense of comfort to put your money for decades there.

How to Analyze Technical Stocks

Talking about technical stock analysis, there is a possibility that you are interested in analyzing Telkom stock. However, you have to wait until you really understand stock analysis because the purpose of this analysis is to determine when is the right time for you to trade stocks. Not only that, you can also determine entry and exit points and find out stock trends.

Moving average convergence/divergence (MACD)

Another indicator is the Moving Average Convergence or Divergence which will give an overview of the relationship between two price averages in an asset's price trend. Because it is easy to use and also flexible, many traders use this indicator. Usually this indicator is not only used to see trends but also momentum in the stock, commodity, foreign exchange, or bond markets.

Relative strength index

The relative strength index is one of the indicators in technical stock analysis that can be used to measure the amount of price volatility of an asset. That way we can evaluate whether the incoming asset is already in a position that is overbought or sold. If the line is above 70, then we can say that the market is in a state of overbought. However, if the line is below the 30 scale, the market may be in an oversold condition. This RSI will display a moving chart at the extreme point with values between 0 and 100. This indicator will measure the change in the price of an asset over a period of 14 days or 14 hours depending on what chart you are using. Usually often used by traders and technical analysts. For those of you who are confused in determining indicators and how to analyze the stock itself, you can discuss with the GIC team through Trader Assessment and find out how to trade in the conditions you are experiencing. 
Trader Assessment

Divergence

Divergence is another type of MACD in technical analysis. If the MACD line forms a high and low point that is opposite the highest and lowest points of an asset, then this is called a divergence. However, if the two lows on the MACD line correspond to the two lowest lines in the asset price then it is bullish.

Crossover

We can say that the crossover is the ability to see the MACD trend line when compared to other signal lines. If this line is below the signal line, the asset price is in the bearish zone. This means that you don't have to rush to release your assets. But if the MACD line is above the signal line, the asset price is in a bullish zone, which means that traders should buy the asset immediately.

Bollinger band

Bollinger bands are quite popular indicators because traders say that this indicator can be the basic key for them to make a profit. This indicator will show the relative boundaries of price fluctuations with the shape of a line drawn in and around the price movement being traded. This Bollinger band has 3 lines that will move following the price movement, namely the upper band, middle band, and lower band.

Oscillator

Technical stocks have 2 indicators, namely overlays and oscillators. Examples of overlays are Moving Averages and also Bollinger brands. While the oscillator is MACD or RSI. This oscillator appears separately on the price movement chart and determines or stops a trend. This oscillator is a technical analysis tool that can build high and low bands between two extreme values. Not only that, you can also build trend indicators that fluctuate with boundaries. Leaders can use this indicator to determine short-term overbought or oversold conditions.

Best Stock Analysis App

The existence of technological advances has helped some fields become more developed than before. When you start investing in stocks, you can use a stock analysis application. This application will help you to analyze stocks whenever and wherever you want, even when you are asleep. By using this application, you can monitor stock movements and make wise financial decisions. Of course, the goal is to earn money from the investments you make. To make your transaction experience easier, there are several stock applications that are suitable for beginners. Before knowing the applications themselves, you can invite your friends to join and trade on GIC. Or those of you who register to become IB. Both of these activities will make you get additional funds in trading.

Stockbit – Stock Investing for Millenials

Stockbit is a stock investment application where you can analyze, trade, and discuss in just one application. Stockbit will help you in investing or trading stocks online on the Indonesian stock exchange. With this you can invest in stocks online whenever and wherever you want. You will have the opportunity to learn how to play stocks using online stock trading virtual which will make learning stock investment easier and use the actual movement of Indonesian stock data.
 
You can also analyze some stock info with investors and traders who are in the app's community. There are more than 100,000 investors and traders on this app who want to share stock tips. You can also get stock recommendations from leading securities or research institutions at a price of IDR 0.

Then there are also technical indicators such as foreign flow, bandarmology, darvas box, ichimoku cloud, MACD, RSI, and many more. To conduct a more intensive stock analysis, you can have a personal chat with other investors or stock traders. You will be given the fundamental data you need such as PE ratio, price to book value, debt to equity, ROE, and dividend yield. There is a history of Indonesian stock prices for the past 15 years with strong stock predictions and analysis.

You can always check info about today's stock price and set alerts about the stocks you are following so you know when to buy and sell. You can monitor the company's insider transactions, monitor today's stock news, read all financial reports, get stock data, and help investors with the principle of value investing.

Indonesia Stock Data

Indonesian stock data is an application that can meet all your needs regarding Indonesian stock data in just one mobile application. The thing that makes this application a must-have is its ability to perform fundamental and technical analysis as well as bandarmology. You will also get news regarding the details of the stock. Some of the features that you can get are market data, candlesticks, portfolio and account management, fundamentals, technical, accounting, and news. With market data you can get stock data at the end of the day or in the middle of the day. Candlestick charts will help you to know the direction of stock price trend movements. The existence of portfolio and account management features can provide information about the movement of the value of your stock investment whenever and wherever you are. With this, you can also find out the amount of your account balance, the calculation of the broker's salary, the total value of the stock portfolio, and the calculation of profit and loss. With this application, you can get a collection of news about investment and the stock market from various sources.

OlympTrade

Olymp Trade is an international broker with access to 100 financial instruments for their users. By using this application, you can become one of the most successful traders in this application by using only a smartphone to trade and analyze the market. This application has an intuitive and user-friendly interface, so you can use and search for indicators and analysis tools so that your success in making investments becomes more likely. You can choose the type of asset you want, for example such as stocks, indices, metals, commodities, and currencies. If you don't understand how to do trading then you can practice with a demo account where you can access 10000 units of virtual currency that can be reloaded. The app provides complete courses, webinars, and news for all traders from beginners to experienced traders. In order for you to access more complete content you need to level up with the steps of a trader. All traders can get exclusive status that allows them to trade under special conditions as well as consult a personal manager. We have a technical support team that is operational around the clock and you can contact us via email, chat, or phone. There is a stock trading mode that will help traders to be active in the stock market. You can learn more about the stock exchange and its features through this application.

RTI Business

RTI business will provide you with the latest updates on the Indonesian stock market from Price Quotes, Charts, Financial Data, Analytics, Corporate Action, Key Statistic and News to your mobile device. You can get the latest information about IDX Indexes, Open, High, Low, Volume (Shares), Turnover, Frequency, Up, Down, Unchanged, Index Diary, Price Performance and Investor Charts.

The watchlist feature will help you manage and analyze the stocks of your favorite companies using Market Depth, Price Performance, High-Low Range, Historical Chart, News, Financial Chart, Price Diary and Investor Chart as well as access company profiles, key statistics, company actions, and financial updates. You will get daily, weekly, and monthly information about Net Foreign Buy, Net Foreign Sell, Gainers, Losers and Most Active by Volume, Turnover, Frequency. You don't need to worry because this application uses Indonesian and there are several technical charts such as stocks, indexes, world indices, forex, and precious metals.

MSN Money- Stock Quotes & News

You can know more about financial data and news from well-known sources through this application. With this you can improve your finances with useful tools and calculators. You can track major indices around the world as well as currency exchange rates as well as commodity prices. Add your favorite stocks to your personal watchlist so you can get recommendations and more detailed company profiles. Read the latest news and advice on business, finance, markets, technology, companies, and more. Get these stories from reputable media sources such as the Wall Street Journal (WSJ), CNBC, Reuters, Fox Business, Wall Street Journal, CNBC, Forbes, Bloomberg, Investopedia, MarketWatch, and more.

TradingView

Tradingview is an app that's perfect for beginners and effective for experts because it has all the instruments you can publish and see your trading ideas. The quotes and graphics in this application are available anytime and anywhere. All the data in the app is obtained from a professional who has direct access to stock quotes, futures, popular indices, forex, Bitcoin, and CFDs. Here you can track major global stock markets and indices such as the NASDAQ Composite, S&P 500 (SPX), NYSE, Dow Jones (DJI), DAX, FTSE 100, NIKKEI 225, and many more.

It is a very suitable place for traders and investors to use because it is very active. You can also learn from the experiences of other investors and discuss trading ideas. There are great graphics that can surpass the quality of other trading platforms. All the features and settings in this app are made so that you can get market analysis from different angles. You will get alerts so that you don't miss the changes that occur in the market and you can make timely investment decisions. You can also check the prices of commodities in real time such as the price of gold, oil, natural gas, cotton, sugar, wheat, and corn.

Investing.com: Stocks, Finance, Markets & News

Join the millions of other people who use investing.com app every day to stay updated on the financial markets. Check out your favorite stocks and stay informed that matters with personalized alarms and global financial news. Here you can get more than 100,000 financial instruments where you can exchange more than 70 global currencies.

Our real-time economic calendar can be used by traders and investors to check the events that are happening in the financial markets at the time they are announced so that you can easily check the impact on the market. Make your own list so you can know all the important things about the stocks you are after. You can access this list at any time through the menu so that you can get real-time prices and show your total assets at any time. Be the first to know the news about stocks, currencies, commodities, and the global economy.

You can also get quick access to all our world-class tools such as economic calendar, income calendar, technical summary, currency conversion, market quota, graphics, and more. That's the definition, types, and applications of stock analysis that can help you as a beginner or experienced investor or trader. Hopefully this information can help you get more success when investing. Don't forget to also read other articles about forex in the GIC Journal! And discover a wide range of advanced knowledge about forex through the Scalping Ebook, and the Forex Academy from GIC!