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 is expected to trade with a positive bias, albeit within a likely rangebound zone. Below are some short-term trading ideas to consider.
Benchmark indices may once again attempt to test the previous day's highs, but sustaining those levels is the key to watch amid ongoing consolidation. 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.
If the Nifty50 holds current levels and surpasses 17,200-17,300 in coming sessions, then 17,500 can be a possible target with crucial support at 17,000 followed by 16,800-16,750 levels
The lower high lower and low formation will be neglected only above 17,600 levels till then, this can be considered as a short-term pullback
Traders can continue with a stock specific approach. "And we may see trades on both sides if Nifty remains in a consolidation mode," says Sameet Chavan of Angel One.
Experts feel the mood at street turned more cautious and nervous after Friday's sharp fall and hence the more correction can't be ruled out if the Nifty decisively breaks 17,000 mark in coming days.
If you are a retail investor have Rs 1 crore to invest, here are a few recommendations for investing and dividing your portfolio exposure across these sectors.
Use this sharp correction to accumulate long positons with SL of 8900 immediate resistance is seen around 9400 levels.
By surpassing the resistance of 8,600 in the previous week, Nifty also confirmed the bullish inverse head and shoulder pattern breakout on the daily line charts.
We expect the index to maintain positive bias and challenge its record high of 12,100 in coming sessions
According to Avinnash Gorakssakar, Market Expert, one may hold GlaxoSmithKline Pharmaceuticals
Prakash Gaba of prakashgaba.com is of the view that one may hold GlaxoSmithKline Pharmaceuticals.
Consumer and light electric companies hit fresh 52-week high after the Goods and Services Tax (GST) Council on Friday decided to slash rates on more than 175 items, reducing taxes on these from the existing 28 percent.
The idea behind creating ‘wealth’ is to find companies which can outperform benchmark indices in a Bull Run and contain damage when the equity markets decide to head south.
Prakash Gaba of prakashgaba.com is of the view that one may hold GlaxoSmithKline Pharmaceuticals.
SP Tulsian of sptulsian.com tells CNBC-TV18 why he would not give a buy call on MRF stock which touched Rs 50,000-mark in trade Wednesday. He also shares his take on other tyre stocks.
With maintaining neutral rating on Glaxosmithkline Pharmaceutical, Credit Suisse slashed target price to Rs 2,850 as it continues to struggle with price control & supply constraints in some products. It also reduced FY17 earnings per share by 41 percent.
Credit Suisse says GST is a major negative for alcohol companies as they are kept out of GST and earnings could get hit by 15-20 percent in FY18. It says input cost inflation could hit margin by 150-200 basis points. Input taxes on raw materials may become stranded with no offsets.
According to Harendra Kumar of Elara Capital, one may stay invested in GlaxoSmithKline Pharmaceuticals.
Arvind Bothra, vice president of institutional research at Religare Capital Markets is cautious on Ranbaxy because the earnings visibility is very low and believes that the expectations of a turnaround in the US business etc are seemingly priced-in the stock.
Ambareesh Baliga of Edelweiss Financial Services is of the view that one may hold GlaxoSmithKline Pharmaceuticals as the stock may head higher.
Ajay Srivastava, CEO at Dimensions Consulting suggests to the open offer of GlaxoSmithKline Pharmaceuticals. "One may buy it around Rs 2600-2700," he adds.
GSK Pharma may rally to Rs 3000 in next two- three months, says SP Tulsian of sptulsian.com.
Parag Doctor of Keynote Capital recommended buying Britannia Industries and Glaxosmithkline Pharma. However, he advised one can sell HDIL and SAIL.