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 remain range-bound, with support at the previous week’s low. Below are some short-term trading ideas to consider.
The market could see some consolidation and profit booking in the upcoming sessions, though the overall trend remains positive. Below are some trading ideas for the near term.
The benchmark indices, as well as broader markets, might extend the weakness. Below are some trading ideas for the near term.
Buy Nifty Futures between 24,200-24,225, with a stop-loss of 24,050, targeting 24,500, while buy Bank Nifty Futures with a stop-loss of 52,200-52,250, with a stop-loss of 51,800, targeting 53,000.
The immediate support for the Nifty 50 is likely to be seen at 22,400, followed by 22,300. In case of a bounce back, the 22,600-22,700 levels are the immediate ones to watch.
Despite elevated volatility, the market is expected to maintain an upward journey in the coming sessions, along with intermittent consolidation.
Affle India has also seen a breakout of falling resistance trendline and formed long bullish candlestick pattern on the daily timeframe, with robust volumes.
JSW Energy formed strong bullish candlestick pattern on the daily timeframe with robust volumes. The stock traded above all key moving averages, while it has been rising for fourth consecutive month.
Aster DM Healthcare has formed Bullish Engulfing kind of candlestick pattern on the daily charts with above average volumes, and closed 5 percent higher at Rs 319.4. The stock is on the verge of falling trendline breakout.
Short to medium term trend of the Nifty Index seems to be corrective in nature as long as it remains below the 19,795 levels.