An Integrated Fundamental Technical Analysis Framework for the Islamic Capital Market
Keywords:
Capital Market, Investment, Islamic Finance, Bottom-Up Approach, Top-Down ApproachAbstract
The Islamic capital market in Indonesia has a strategic role not only as a means of raising capital in accordance with Islamic principles, but also as an important instrument for national economic growth. However, the low level of Islamic financial literacy has caused the great potential of this market to not be optimally realized. This research aims to develop an integrative fundamental and technical analysis framework in the Islamic capital market as a practical guide for investors in making rational, ethical, and sharia-compliant decisions. The method used is a literature review with a qualitative approach, including analysis of regulations, theories, and previous research, supported by simple bibliometric analysis using VOSviewer to map recent research trends. The results show that while fundamental and technical analysis have been widely used separately, their integration within the sharia framework is still minimal. This study confirms that fundamentals filter emissions in terms of financial health and Shariah compliance, while technicals determine the momentum of transactions, making them complementary. The implications of this study emphasize the importance of integration as a preventive strategy, speculative practices as well as strengthening the attractiveness of Islamic capital markets, as well as contributing to academic literature and policies to encourage Islamic financial inclusion in Indonesia.
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