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 undertone seems upbeat with ‘buy on dip’ being the most suitable approach.
Central Depository Services (CDSL) has decisively crossed 200-day EMA and formed healthy bullish candlestick pattern on the daily scale with above average volumes.
Experts expect the rally to continue in the coming sessions, with the Nifty 50 moving towards 19,100-19,200 levels, after which minor profit booking can't be ruled out.
Going ahead, the recent high of 18,662 would remain an immediate trigger for the bulls. A sustainable move above the same might result in a new life high for the Nifty50.
Dixon Technologies jumped over 5 percent to Rs 3,878.75, the highest closing level since January 3, 2023, and formed long bullish candlestick pattern on the daily scale with above average volumes. Largely, the stock has seen healthy uptrend in the second half of May.
A falling wedge formation and an Inverse Head and Shoulder pattern have both broken out on DLF. We are able to clearly observe a Bullish Marubozu candlestick pattern on the weekly time period
On the daily timeframe, CDSL prices have given a breakout from the Rounding Bottom pattern, indicated beginning of trend on the upside. The breakout was confirmed by high volumes.
A more-dovish-than-expected monetary policy by the central bank and the easing of Omicron concerns helped the bulls to retain control.
The immediate support for the Nifty50 is placed near 17,800 and if prices break below these levels, 17,630 will be the next level to watch for, said Rohan Patil of Bonanza Portfolio.
There could be some impact of COVID-19 on economic and earnings growth -- at least in the first quarter of FY22. This would ultimately hit full-year growth to some extent, but there could be faster recovery, post the second wave.
By providing attractive valuations, the COVID-19 pandemic seems to have offered an opportunity to investors who have been eyeing the mid and small-cap space to place their bets at significantly low risk, say experts.
As Nifty has already risen more than 8 percent from the low made on June 12, the index may move up gradually but the focus of the traders should continue to be on the mid-cap stocks.
Ashwani Gujral of ashwanigujral.com recommends buying M&M Financial Services with a stop loss of Rs 380, target of Rs 405 and BPCL with a stop loss of Rs 490, target of Rs 515.
For the week, we expect Bank Nifty to trade in the range of 33,600-31,300 with mixed bias.
Lower interest rates and good monsoon are expected to help the economy. Also, positive developments in the global arena for the US-China trade deal and the Brexit resolution will provide additional support
Finance, FMCG and auto companies suffered from volume growth and delivered disappointing results.
To ride the momentum which is on an upside, the brokerage house recommends investors to add companies which are exhibiting improvement in earnings and showcasing strong volume growth.
Stock specific moves likely to happen in selective IT, pharma, NBFC stocks and heavyweights stocks are likely to take the lead while PSU, Auto, Cement, Mid and Small Cap stocks would be under pressure with limited upside.
According to experts, the volatility is here to stay for some more time and another 4-5 per cent correction can't be ruled out.
Here is the list of 12 top stocks that can give upto 47% return over 12-15 months period.
Prakash Gaba of prakashgaba.com is of the view that one may hold CDSL.
There was plenty of stock specific action as nearly 130 stocks rose to a fresh 52-week high on the BSE.
Traders might not like the current volatility in the market but for long-term investors, it is a golden opportunity to buy into quality stocks for a minimum holding period of 1 year.
The recently listed companies undoubtedly bring their own unique moats to investors. However, somewhere while appreciating the strengths of the businesses, investors have taken their eyes off valuations.
Ashwani Gujral of ashwanigujral.com recommends buying ICICI Bank, Interglobe Aviation, Gruh Finance, Uflex and Equitas Holdings.