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 bullish bias is expected to sustain in the upcoming sessions. Below are some trading ideas for the near term.
The momentum is expected to continue in the upcoming sessions. Below are some trading ideas for the near term.
Immediate support for the Nifty 50 is seen at 25,700, with a crucial level at 25,500, while resistance is expected around the 25,900-26,000 range. Here’s a look at the ‘buy on dip’ opportunities and stocks to avoid, according to market experts.
The upward move towards a record high is expected to be seen in the coming sessions.
Aegis Logistics formed strong Bullish Engulfing candlestick pattern on the daily charts, which is a bullish reversal pattern forming at the downtrend. The stock traded above all key moving averages, with strong volumes.
IRFC extended uptrend for third consecutive session with healthy bullish candlestick pattern on the daily charts and the volume remained above average for yet another session.
Looking forward, the immediate resistance for Nifty is identified at the 21,500 levels, representing the 78.6 percent Fibonacci extension level.
IRFC has seen a consolidation breakout. The stock has formed long bullish candlestick pattern on the daily charts with robust volumes and traded above all key moving averages.
The ongoing bullish trend is likely to continue in broad market indices like midcap and small cap segments for the coming weeks.
SBI Life Insurance Company has seen a breakout of horizontal resistance trendline adjoining multiple touchpoints and formed long bullish candlestick pattern with above average volumes.
Coal India has also seen a breakout of falling resistance trendline and formed robust bullish candlestick pattern on the daily scale, while the volumes remained strong for second consecutive session.
The market has remained volatile as coronavirus cases continue to rise in the country. Experts say every decline is an opportunity to buy quality stocks, with a strong recovery expected once infections reach their peak.