Posibilities for stock market investment using psychological analysis

Abstract

The article discusses the importance of psychological analysis for investors when investing in the stock markets. The main objective is to determine the use of the psychological analysis when making investment decisions of licensed securities dealers operating on the Czech stock market, who are registered at the Czech National Bank. The article reports new findings from the explored areas, both theoretical and practical. In theoretical part, existing approaches have been described, including their comparison. The hypothesis of whether securities dealers compile portfolios of investments will verified. The hypothesis is based on investors’ psychology. Based on the research conducted by the Czech Securities Dealers in the Czech Republic, including the specific example, findings were gained from experience. Further, the article consists of the solutions to development of issues examined in the future, which should support the importance of examined analysis on both the theoretical and practical levels. This analysis is not subject to such investors’ interest, as fundamental and technical analysis is, while also providing valuable information for investors.