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 consolidate further, with last week's low acting as support. Below are some trading ideas for the near term.
Going forward, 19,600-19,500 is expected to act as a crucial support for the Nifty50 in coming sessions, and if it manages to sustain above then the gradual upmove towards 20,000 can be possible, experts said
Downward sloping trend line breakout in Prince Pipes was seen on the daily charts. Price breakout is accompanied by a jump in volumes.
Tata Communications has consolidated and maintained a base near Rs 1,130 levels and has picked up momentum with a bullish candle pattern to imply strength. It has potential to carry on with positive bias in the coming days.
"Traders should remain bullish and accumulate longs with the stop loss of 15,600 on a closing basis," said Nandish Shah of HDFC Securities.
A good monsoon will likely bring a bumper harvest that will ease supply-side constraints and will also help in curbing inflation, say experts
The focus of the traders should be on mid and smallcaps that are likely to continue their outperformance for the coming weeks and months.
With an improvement in sentiment along with the earnings, the outlook for the mid and smallcaps looks positive, says Pankaj Bobade of Axis Securities.
We are expecting some rangebound movement in Nifty for some time but during this time stock specific rally will continue in a big way
A decisive breakout above 11,200 may induce a strong rally in the market. On the other hand, a breakdown below 10,800 may trigger short-term bearishness in the market.
Mitessh Thakkar of mitesshthakkar.com recommends selling HDFC Bank below Rs 2082 with stop loss of Rs 2096 and target of Rs 2055 and Hindustan Unilever below Rs 1730 with stop loss of Rs 1742 for target of Rs 1705.
The index witnessed a bearish candle on the weekly charts and going forward it would be difficult for the index to surpass 11000 levels convincingly in a hurry.
Company has total cash on books of Rs.427 crore as on 30th September-18 while stock is available at market cap of Rs.3730 crore.
We recommend going long for a target of Rs 642 in coming days.
For next week, Nifty has strong support at 10,800-10,740 levels and resistance at 10,940-11,035 levels
Ashwani Gujral of ashwanigujral.com recommends buying YES Bank with a stop loss of Rs 208, target of Rs 224, Reliance Industries with a stop loss of Rs 1235, target of Rs 1285 and Rural Electrification Corporation with a stop loss of Rs 118, target of Rs 130.
Mitessh Thakkar of mitesshthakkar.com suggests selling Coal India with a stop loss of Rs 271 and target of Rs 255 and advises buying Havells India around Rs 585, with stop loss of Rs 572 for target of Rs 612.
We recommend initiating a long position in Kaveri Seed around Rs 570-580 levels by keeping a stop loss at Rs 530 and the upside targets are Rs 600 and Rs 630.
Investors are advised to stay long as long as the index holds above 10,750-10,700, experts said
Shabbir Kayyumi of Narnolia Financial Advisors advises buying Escorts with a target of Rs 950.
Shabbir Kayyumi of Narnolia Financial Advisors expects the Nifty to trade within a 10,850-11,200 range going forward
Ashwani Gujral of ashwanigujral.com recommends buying Yes Bank with a stop loss of Rs 387, target of Rs 405, Indraprastha Gas with a stop loss of Rs 268, target of Rs 284 and Reliance Industries with a stop loss of Rs 1090, target of Rs 1140.
Rajesh Agarwal of AUM Capital recommends buying Kaveri Seed Company with a stop loss at Rs 555 and target of Rs 582, ITC with stop loss at Rs 267 and target of Rs 281 and Century Textiles & Industries with stop loss at Rs 870. and target of Rs 908.
A close above resistance zone of previous peaks and higher volume participation is likely to keep the bullish momentum, says Mustafa Nadeem of Epic Research.
Broader indices are likely to consolidate further. Divergence exist as the Nifty appears headed to the 10,800 mark, while smallcaps and midcaps continue to trade lower, indicating breadth is exhausted in that space.