THE LEARNING DESK
Make sense of the market.
Short reference notes to help you read the evidence. Educational information, not personal investment advice.
Fundamental analysis
Start with the business
Read revenue, costs, assets and liabilities together. An income statement describes performance over a period; a balance sheet describes financial position at a point in time. One headline number is only a starting point.
SEC · Financial statementsTechnical analysis
Price is a different lens
Technical analysis examines price and trading activity. Fundamental analysis examines the business. Keep an observation about a chart separate from a claim about the company’s value.
Fidelity · Technical analysisValuation
Put the multiple in context
P/E compares price per share with earnings per share. State the earnings period and share-count basis. Comparisons need context: businesses, growth, debt and accounting can differ. This site treats P/E as not meaningful when earnings are non-positive.
SEC · Financial statementsCash flow
Follow the cash
Profit and operating cash flow measure different things. The cash flow statement separates operating, investing and financing activity. Read it alongside earnings to understand how cash moved through the business.
SEC · Financial statementsVolume
Read activity alongside price
Volume describes trading activity over a stated interval. Check whether a provider reports shares or lots before comparing observations. A missing record is not evidence that no trading occurred.
Fidelity · Technical indicatorsInvestment risk
Understand what can go wrong
Your time horizon and ability to bear losses matter. Diversification spreads exposure across investments, but does not remove market risk. A single company, sector or asset can still suffer substantial losses.
Investor.gov · Diversification