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 market may turn positive amid rangebound trading. Below are some short-term trading ideas to consider.
Rather than solely betting on a bounce or trend reversal in the broader index, look to stocks like Castrol India, Cholamandalam Investment, and GlaxoSmithKline that demonstrate potential bullish signals across multiple timeframes.
The market may remain rangebound over the next few sessions, but the overall trend remains bullish. Below are some trading ideas for the near term.
The consolidation is expected to continue in Nifty 50, although the bulls remain in control. Below are some trading ideas for the near term.
It would be advisable to take an approach of holding longs with trailing stop-loss instead of anticipating any upside target for the Nifty.
Traders should keep a close eye on key support (21,500) and resistance levels (22,000–22,100) and remain flexible in their trading strategies,
Oscillators have reached the overbought zone on the daily and weekly charts for the Nifty. However, unless important support breaks on the price charts, a trend reversal would not be confirmed
Experts foresee a rebound with resistance at 19,300-19,400 levels, followed by 19,500 levels in the coming session. In case the index breaks 19,200, then the correction can be seen up to the 19,000 mark
JSW Energy has seen robust breakout after more than three weeks of consolidation and jumped 8 percent to Rs 314, forming strong bullish candlestick pattern on the daily charts with multi-fold jump in volumes.
Short term trend of the Nifty turned positive as Nifty has closed above its 5 and 20-day EMA.
Jyothy Labs has seen robust trading volumes in two consecutive sessions, and traded way above key moving averages (20, 50 and 200-day EMA - exponential moving average).
Castrol India has seen a golden crossover with the 50-day EMA (exponential moving average) crossing 200-day EMA, which indicates possibility of further uptrend.
Castrol India was in focus, rising 3.5 percent to Rs 134.55, the highest closing level since November 15, 2021 and formed healthy bullish candle on the daily charts with above average volumes.
As of December 28 close, the BSE Sensex is up about 15 percent while the BSE Midcap index has gained 19 percent and the Smallcap index 31 percent in the calendar year 2020.
Experts point out select mid and smallcaps look good for medium to long term horizon. They name about 20 favourite stocks
Sudarshan Sukhani of s2analytics.com recommends buying Castrol India with stop loss at Rs 147 and target of Rs 154 and Escorts with stop loss at Rs 830 and target of Rs 860.
Mitesh Thakkar of miteshthakkar.com recommends buying Titan Company with a stop loss of Rs 1280 for target of Rs 1340 and Infosys with a stop loss of Rs 784 for target of Rs 820.
Sudarshan Sukhani of s2analytics.com recommends buying Berger Paints with stop loss at Rs 540 and target of Rs 560 and Castrol India with stop loss at Rs 134 and target of Rs 146.
Mitesh Thakkar of miteshthakkar.com recommends buying BPCL with a stop loss of Rs 470 for target of Rs 500 and Larsen & Toubro with a stop loss of Rs 1330 for target of Rs 1380.
Sudarshan Sukhani of s2analytics.com recommends buying Cadila Healthcare with stop loss at Rs 264 and target of Rs 279 and Colgate Palmolive with stop loss at Rs 1490 and target of Rs 1535.
Sudarshan Sukhani of s2analytics.com recommends buying Castrol India with stop loss at Rs 149 for target of Rs 165 and Manappuram Finance with stop loss at Rs 160 and target of Rs 185.
Experts expect stock-specific activity to continue and as it is a 'buy of dips' market, recommend buying quality stocks for better returns
Sudarshan Sukhani of s2analytics.com is of the view that one may sell Axis Bank with stop loss at Rs 735 and target of Rs 715.
Experts believe not only largecaps but also midcaps with good fundamentals and firm Q2 results can outperform broader indices in the coming quarters
Sudarshan Sukhani of s2analytics.com advises selling Bharti Infratel with a target of Rs 201.