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
Stocks that were in action included Rain Industries which jumped 8.6 percent to Rs 191.35, the highest closing level since April 11, continuing uptrend for fourth consecutive session. The stock has formed bullish candle on the daily charts with significantly higher volumes
The cooling off of metal prices was the biggest driver for the sector. Metal forms the major portion of auto companies' operating expenses
After a recent low touched on June 20, the index has rallied nearly 11 percent and from March lows, it has risen more than 29 percent, which has been the highest among sectors. The rally has been on the back of a decline in metal prices, the key raw material used by the sector.
As long as the Nifty trades above 15,500, one should continue to trade with a positive bias and look for stock-specific buying opportunities during the week, says Ruchit Jain, of 5paisa.com
All automobile segments barring tractors and two-wheelers are expected to post strong year-on-year growth in June, largely on a low base in 2021 when India was battling a devastating second Covid wave
If the index shows any recovery, then there could be resistance around 15,400-15,500 area, whereas it could find support around 15,200-15,000 levels, and breaking of which could create some panic in the market, experts say
For Nifty, the immediate resistance is at 16,700 and 16,975 followed by 17,132. The downside support is at 16,370, 16,000 and 15,671 levels
Livelihood of almost 60 percent of the country’s population depends on agriculture
Look out for tractor outlook and capital allocation update in management commentary
The recent low of 15,671 is not far from the current levels now and the moment we slide below it, it will create a panic kind of situation in the market. Below this, 15,350-15,200 are the next levels to watch out for, says Sameet Chavan of Angel One
ITC has shown a relative outperformance within the FMCG space in last few weeks. In spite of the market correction in last week, this stock has managed to give positive returns and the '20 DEMA' has been acting as a support
Going forward, looking at the technical structure and the sentiments among the market participants, indecisiveness could be sensed as the range is getting narrower over the period.
Experts said trades could continue to be rangebound in the coming days and if the Nifty 50 closes decisively above 18,000-18,100, then it may rally towards record high levels.
Here's what Gaurav Sharma of Globe Capital Markets, recommends investors should do with these stocks when the market resumes trading today.
Following the rally over the past one month, experts suggest that investors book timely profits and avoid aggressive buying. According to them, the next resistance on the Nifty 50 is expected at 18,000, with support at 17,600.
Reacting on the above news, stock of many auto and auto-components makers rallied. The Nifty Auto index gained 0.86 percent as Tube Investments, Ashok Leyland, Tata Motors, Bharat Forge, Balkrishna Industries and Bajaj Auto gained 1-3.6 percent.
We advise investors to book partial profits if their targets have been met, said Rahul Sharma of Equity99
The banking index is facing a strong hurdle in the range of 36,200-36,400, above which, the index could continue its journey towards 37,000.
Various segments of equities related to agriculture and rural spending are expected to see huge growth in the monsoon season.
A good monsoon will likely bring a bumper harvest that will ease supply-side constraints and will also help in curbing inflation, say experts
Nifty, on the weekly chart, is locked within a rising channel pattern and is currently trading near the lower band of the rising channel pattern which will act as an important support zone in the weekly interval.
After a bull run in FY21, the new fiscal year has begun with some uncertainty because of the second wave of COVID-19 and higher commodity prices but analysts remain optimistic about economic growth and corporate earnings, making several stocks very attractive.
Brokerages and market experts have been positive about the auto space of late as the sector is among the key beneficiaries of the economic recovery and low-interest rates.
Any close below 14,336 would mean that the correction could accelerate further and Nifty could attempt to touch 14,000.
Brokerage firm ICICI Direct pointed out that a healthy festive period and elements of pent-up demand, channel restocking led the auto industry to remain firmly on the recovery path in Q3FY21.