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 needs to reclaim and sustain above the 20-day EMA to witness a further northward journey in the upcoming sessions. Below are some short-term trading ideas to consider.
The bearish sentiment may persist, given the index's breach of the 50 and 200-day EMAs, alongside the continuation of the lower highs-lower lows formation. Below are some trading ideas for the near term.
The sentiment remains bearish, but considering the severe fall last week, consolidation and range-bound trade are possible. Below are some trading ideas for the near term.
According to experts, the Nifty 50 needs to break its consolidation by decisively climbing above 24,400, which could open the doors for 24,700, while 24,100-24,000 is expected to be a key support zone. Here are some trading ideas for the near term.
Therefore, traders are advised to hold longs with a strict stop-loss at 21,800 levels. The upside momentum is likely to accelerate once the resistance of 22,310 is broken.
Pankaj Jain of Sunteck Wealthmax recommends to go long on Religare Enterprises, DCB Bank and Reliance Capital.
SP Tulsian of sptulsian.com advises to buy Mangalore Chemicals with a target price of Rs 48.50 and Marico with a target price of Rs 215.
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