Fundamentalists typically use the "Bottom-Up Approach", whereas technicians use the "Top-Down Approach" to the valuation process.

Question

Quizplus · Accepted Answer

Fundamentalists often use a "Bottom-Up Approach" focusing on individual companies' fundamentals, while technicians (or technical analysts) do not typically use a "Top-Down Approach" for valuation; instead, they analyze price movements and market trends without focusing on financial statements or the economy as a whole.

Fundamentalists Typically Use the "Bottom-Up Approach", Whereas Technicians Use the "Top-Down