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
Traders can accumulate the stock in the range of Rs 390-395 for the target of Rs 434 and a stop loss below Rs 369.
On the daily chart, the index seems to have found support at the lower band of the rising wedge which led to a 100 points rally. The trend looks positive as the Nifty managed to float above its 50-day exponential moving average (EMA).
Rajesh Agarwal of AUM Capital recommends buying Cipla with stop loss at Rs 530 and target at Rs 556, Bharat Petroleum Corporation with stop loss at Rs 395 and target at Rs 418 and a buy also in Tata Global Beverage with stop loss at Rs 255 and target of Rs 275.
"Traders can accumulate the stock in the range of Rs 435-430 for the target of Rs 481 with a stop loss below Rs 414," says Achin Goel, Head of Wealth Management and Financial Planning at Bonanza Portfolio.
On the higher side, the Nifty may move towards 10,910 and 11,030 over the short-term. On the lower end, support is pegged at 10,550.
Prakash Gaba of prakashgaba.com recommends buying Axis Bank with target at Rs 560 and stop loss at Rs 540, a buy in MCX India with target at Rs 810 and stop loss at Rs 780 and a buy also in Tata Motors DVR with target at Rs 205 and stop loss at Rs 191.
Rajesh Agarwal of AUM Capital recommends buying Indian Oil Corporation with stop loss at Rs 162 and target at Rs 173, a buy in Arvind with stop loss at Rs 412 and target at Rs 430 and a buy also in State Bank of India with stop loss at Rs 245 and target at Rs 257.
"The stock can be bought at current level and on dips to Rs 415 with a stop loss below Rs 403 and a target of Rs 475 levels," says Ashish Chaturmohta, Head Technical and Derivatives at Sanctum Wealth Management.
"The immediate resistance is seen at 10,850 levels. On the downside, the immediate support for the index is seen at 10,690 levels. Breaking below this level, the index may test 10,614 levels," says Ashish Chaturmohta, Head Technical and Derivatives at Sanctum Wealth Management.
"The stock can be bought at current level and on dips to Rs 415 with a stop loss below Rs 403 for target of Rs 475 levels," says Ashish Chaturmohta, Head Technical and Derivatives at Sanctum Wealth Management.
Here is a list of top 5 stock ideas which could give up to 17% return in the short term.
Nomura has initiated coverage with Buy call on Tejas Networks and set a target price at Rs 430 per share.
Sudarshan Sukhani of s2analytics.com is of the view that one may sell Cummins, Arvind, Capital First and Equitas Holdings.
A close beyond 10,400 levels with healthy volumes can pause the current bearishness triggering a short covering to levels of 10,640-10,730.
Mitessh Thakkar of miteshthacker.com advises selling Arvind with a target of Rs 372.
Ashwani Gujral of ashwanigujral.com recommends buying Bajaj Finserv, Vedanta and Arvind.
Rajat Bose of rajatkbose.com is of the view that one can buy Arvind and Sun TV Network.
Rajat Bose of rajatkbose.com recommends buying Arvind and Sun TV Network.
Ashwani Gujral of ashwanigujral.com recommends buying Reliance Industries, Balkrishna Industries and Sonata Software.
Jay Thakkar of Anand Rathi Securities is of the view that one may buy Arvind with a target of Rs 404.
Ruchit Jain of Angel Broking is of the view that one may buy Nava Bharat Ventures with a target of Rs 158.
Sandeep Wagle of powermywealth.com is of the view that one can buy Bharat Financial Inclusion and can sell Arvind.
According to Chandan Taparia of Motilal Oswal Securities, one may buy Hindustan Unilever, HDFC Bank, and Arvind.
Amit Gupta of ICICIdirect suggests buying Arvind and Ujjivan Financial Services.
Vishal Malkan of malkansview.com is of the view that one may buy Century Textiles with a target of Rs 1520.