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
The benchmark indices need to decisively close above the previous day's high for a further upward move; until then, consolidation may be seen. Below are some short-term trading ideas to conside.
The market is likely to consolidate, but the overall trend remains in favour of the bulls. Here are some trading ideas for the near term.
Experts suggest that unless Nifty 50 decisively climbs and sustains above 24,400—where the highest Call open interest is placed—the consolidation may continue, with support at the 24,000 mark. Here are some trading ideas for the near term.
The index is likely to trade within the 24,000-24,500 range. Breaking the upper range may take it towards 24,800, and below 24,000, the 23,700 level is the one to watch. Here are some trading ideas for the near term.
The outlook for the Nifty Index leans towards a neutral scenario. There is an expectation of further rangebound movement in the Nifty, potentially between 18,830 – 19,560 levels.
Poonawalla Fincorp continued its healthy uptrend for yet another session, and formed robust bullish candlestick pattern on the daily charts, with strong volumes, after breaking out falling resistance trendline.
GMR Airports has maintained a level above Rs 34 consistently since early October 2021, indicating significant strength despite a market correction.
Alkem Laboratories shares also rose 3 percent to Rs 3,396, the highest closing level since April 21 last year and formed long bullish candle on the daily scale with healthy volumes, continuing uptrend for fifth consecutive session.
In the upcoming sessions, any sharp gains in the market may remain capped as long as Nifty trades below 15,900, said Shitij Gandhi of SMC Global Securities
Foreign money is clearly the key driver of the rally, along with improving macroeconomic data, better-than-expected September quarter earnings, and hopes that a COVID-19 vaccine is around the corner
The most noted point after September quarter earnings season was that more than 100 stocks witnessed upgrade in rating to buy from brokerages.
The surge in coronavirus infections, an acrimonious buildup to US elections and geopolitical reasons will keep volatility high that can act as a spoilsport, say experts.
In muted earnings expectations for Q1FY21, beats were much higher than misses and that was one of major reasons and confidence booster for equity market not only in India but globally.
On the candlestick front, Alkem Labs has witnessed a 'Rising Three' formation on its daily scale which indicates the upmove to remain consistent & intact.
The market's valuations have turned higher than long-period average and investors should be cautious and selective in picking stocks, say experts .
Aashish Somaiyaa of Motilal Oswal Asset Management Company advised that one should avoid panic and remain invested.
Experts point out that the COVID-19 pandemic came in stages across the world and its fading away also will happen in phases over the next few quarters.
If VIX sustains above 50 levels, then pressure can be seen in the market. It needs to move below 40 levels for stability to return in the market.
Brokerages and analysts are of the view that the pain caused by COVID-19 may linger and the market is factoring in the hit on earnings and economic fallout from coronavirus outbreak.
Motilal Oswal feels markets may continue to fall in near term, and that's the time to start becoming greedy. Hence the brokerage suggests accumulating on a gradual basis.
The market is likely to remain in consolidation mode in next week amid corporate earnings, Delhi assembly elections results and domestic data including IIP, CPI and WPI.
Despite the hangover induced by the Union Budget, various brokerages initiated coverage on these 10 stocks in July and projected 17-46 percent return in near to mid-term
We recommend buy with a target price of Rs 2,018, an upside of 21 percent for investors with a horizon of 12 months.
As of now, mid-cap index is in “correction” and the small cap is in “rally attempt” till it breaches its recent lows
At the CMP, the stock trades at a P/E of 34.6x. We are recommending a buy in staggered manner for medium to long term, says Sumit Bilgaiyan of Equity99.