A technical analysis is the framework for analyzing a security in which you look at a firm's internal strengths and weaknesses and external opportunities and threats in order to gain an understanding of what the future holds for that firm and its stock.

Question

Quizplus · Accepted Answer

The description provided is actually for a SWOT analysis, which is used for strategic planning. Technical analysis, on the other hand, is a method of evaluating securities based on statistical analysis of market activity, such as price and volume.

A Technical Analysis Is the Framework for Analyzing a Security