Stock analysis is used by traders to make buy and sell call. It’s an approach to make informed decisions while investing in stocks. Stock analysis can be categorised into – fundamental analysis and technical analysis. Fundamental analysis is evaluation of data from sources, including financial records, economic reports, company assets, and market share. Analysts typically study the company’s financial statements – balance sheet, income statement, cash flow statement, and footnotes. These statements are made available to the investors in the form of quarterly earnings, disclosures to stock exchanges in compliance with the Securities and Exchange Board of India (Sebi) norms. In fundamental analysis, the analysts particularly check for a company's core income, income from other sources, profitability, guidance, assets and liabilities and debt ratio among other parameters. The other method, i.e. the technical analysis focuses purely on statistical data. It works on two assumptions; one, the stock price reflects the fundamentals. Second, the study of past and present movement in prices can help determine the future price trends. Technical analysis primarily deals with price, volume, demand and supply factors. This method is effective only when supply and demand forces influence the market. However, when outside factors are involved in a price movement, technical analysis may not be successful. More
Rangebound trading is expected to continue until the benchmark indices trade below the previous week’s high. Below are some short-term trading ideas to consider.
The market may see rangebound trading after the sharp sell-off last week. Below are some short-term trading ideas to consider.
The Nifty 50 is expected to consolidate until it decisively breaks the previous week's range on either side for a firm direction. Below are some short-term trading ideas to consider.
Volatility is likely to remain high, and consolidation is expected to continue until the index closes the bearish gap of April 7. Below are some trading ideas for the near term.
Trident extended its northward journey for sixth consecutive session. The stock has formed strong bullish candlestick pattern on the daily scale with robust volumes. In fact, the volumes remained healthy in the past four sessions.
Key support levels for the Nifty50 include a sturdy foundation at 18,830, represented by the 200-day EMA, along with additional support zones at 18,640 and 18,460
BSE formed bullish candlestick pattern with long upper shadow on the daily timeframe & robust volumes, which is a positive sign. The stock continued uptrend for fourth consecutive session and traded well above all key moving averages (20, 50, 100 and 200-day EMA).
Cyient has formed long bullish candle on the daily scale with above average volumes, with making higher tops higher bottoms formation for third consecutive session. The stock jumped 4.6 percent to end at record closing high of Rs 1,287.
The Nifty50 index is now more than 18 percent up from its June lows and is gradually gathering steam to reclaim 18,000 mark with crucial support at 17,500, experts said
After a phase of strong earnings, lockdown-like restrictions have led to more downgrades than upgrades but analysts and brokerages remain bullish about many stocks, which have been upgraded to a ‘buy’ rating.
All-in-all, Yes Securities believes the market will run up ahead of, and in anticipation of an ensuing economic recovery.
One should always avoid investing in bad quality businesses because as is said a rising tide lifts all the boats but the end outcome is always bad in investing if one ignores the quality aspect, Shailendra Kumar of Narnolia advised.
With midcaps and smallcaps expected to outperform largecaps, especially after September quarter earnings, this is the right time to build a portfolio, analysts have said.
Neeraj Chadawar of Axis Securities believes that market volatility is likely to provide good opportunities for Midcaps and Small caps.
Given the gradual unlocking of India, sectors which had left aside in previous rally have started participating in the current run up. Hence brokerage houses also initiated coverage with a buy call on several stocks.
Given that India will remain a growth market in the long-term one cannot neglect growth stocks for a prolonged period of time, Jyoti Roy advised.
Experts say market has already run ahead of fundamentals and a correction is due
After March quarter earnings and recent correction in stock prices, many stocks got an upgrade in rating from brokerages
Negative technical indicator and bearish market breadth signal the probability of a further decline in Nifty.
Of the qualitative IPOs, we recommend four companies that listed in the last two-to-three years and have delivered consistent performance in a volatile market
Given the relatively lower valuation, higher quality of the loan assets, and majority rural-focused business, one can invest for long only theme with one-year target near Rs 480-500, said an expert