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 frontline indices are expected to see more consolidation with a negative bias in case the 10-day EMA is broken. Below are some short-term trading ideas to consider.
Data Patterns India continued to consolidate since the mid of September and formed Doji candlestick pattern on the daily scale, but tested 50-day EMA (Rs 2,113) and went closer to falling resistance trendline during the day. The stock rose 0.85 percent to Rs 2,099 on the NSE
The Nifty is trading below its 21 and 50–day exponential moving average, indicating a continuation of the downtrend
Hadrien Mendonca of IIFL recommends buying Bajaj Finance with target at Rs 2,250 and stop loss at Rs 1,975 and Colgate Palmolive with target at Rs 1,276 and stop loss at Rs 1,138.
Here is a list of top buy or sell ideas by experts for the coming week which could give up to 13% return.
IDFC Securities has Outperform call on Tata Steel with a target price at Rs 873 per share, saying the strategy to create a long-term JV with Thyssenkrupp is a long-term positive.
The valuation of India market still remains to be rich; hence, any correction owning to global volatility should be used as a buying opportunity to dig into quality stocks.
Kunal Saraogi of Equityrush is of the view that one may buy Jindal Steel with a target of Rs 270.
Gaurav Ratnaparkhi of Sharekhan recommends buying Century Textiles with a stoploss at Rs 1370 and target of Rs 1475 and a buy on Apollo Tyres with a stoploss at Rs 261 and target of Rs 285.
Every USD 10 a barrel increase in oil adds 22-28 percent to EBITDA and 20-30 percent to equity value of ONGC/Oil India.
Mindtree, Oil India and GIC Re, among others, are on the radar of investors on Monday.
Mitessh Thakkar of mitesshthakkar.com is of the view that one can buy Arvind, Havells India and L&T Finance Holdings and can sell Oriental Bank of Commerce.
Ashwani Gujral of ashwanigujral.com advises buying Oil India, Bharti Airtel and JSW Steel.
Ashwani Gujral of ashwanigujral.com is of the view that one may buy Divis Laboratories and Bharat Electronics.
Ashwani Gujral of ashwanigujral.com advises selling HPCL and UPL.
Mitessh Thakkar of mitesshthakkar.com advises selling Ceat and Godfrey Phillips.
Vijay Chopra of enochventures.com advices buying Oil India with a target of Rs 335.
Sandeep Wagle of powermywealth.com is of the view that one can buy IndusInd Bank and sell Oil India.
Sameet Chavan of Angel Broking suggests buying buying Larsen and Toubro (L&T) with a target of Rs 1645.
Gulf Oil Corp may do well, says Aunali Rupani, Director of Arm Research.