Question 97—Shorting the Fundamentals

Answer 4 The most powerful situation exists when the fundamentals suggest a trade and technical factors confirm that signal.
Fundamental analysis is narrower than technical analysis because of the economic differences between various markets; a technician can apply his tools across the board. Fundamental ideas must be verified with technical analysis. No matter how good a fundamental story, if the technical factors do not confirm it, there is no trade. When both point in the same direction, they create a very powerful combination.

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