Investing is very much an inexact science. While it would be great if companies that executed well rose in value and poor-performing businesses saw their share prices decline, it doesn't always work out this way. Investor sentiment and technical analysis -- using chart patterns to determine whether a stock will head higher or lower -- are just some of the factors that can disrupt traditional fundamental analysis, which lets income statements and balance sheets dictate where a company's share price will head.

However, the bond market isn't swayed by investor emotion and technical analysis in the same way stocks can be influenced. Corporate bond traders are simply focused on the health of the underlying business and the likelihood they'll be repaid in full when the note they hold matures.

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Source Fool.com