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
Investors should be prepared for quality stocks as brokerages believe that there are ample opportunities in the market considering expected broad-based rally
We strongly advocate focusing more on stock selection and trade management aspects, said Jayant Manglik of Religare Broking
Sudarshan Sukhani of s2analytics.com recommends buying Bajaj Auto with stop loss at Rs 2998 and target of Rs 3058, HCL Tech with stop loss at Rs 1010 and target of Rs 1048 and HDFC Bank with stop loss at Rs 2238 and target of Rs 2275.
Sudarshan Sukhani of s2analytics.com recommends buying Buy HCL Tech with stop loss at Rs 1050 and target of Rs 1070, Larsen & Toubro with stop loss at Rs 1265 and target of Rs 1290 and Reliance Industries with stop loss at Rs 1220 and target of Rs 1255.
However, this period could also offer opportunities to cherry pick some quality equity investment.
Mitessh Thakkar of mitesshthakkar.com recommends selling UltraTech Cement with a stop loss of Rs 3525 and target of Rs 3300, Hindalco Industries with a stop loss of Rs 204.25 and target of Rs 190 and Indian Bank with a stop loss of Rs 214 and target of Rs 191.
Mitessh Thakkar of mitesshthakkar.com recommends buying Shriram Transport Finance with a stop loss of Rs 1050 and target of Rs 1098, Tech Mahindra with a stop loss of Rs 740 and target of Rs 774 and IndusInd Bank with a stop loss of Rs 1524 and target of Rs 1585.
Sudarshan Sukhani of s2analytics.com recommends selling Vedanta with stop loss at Rs 195 and target of Rs 188, Shriram Transport with stop loss at Rs 1080 and target of Rs 1025 and Bharat Forge with stop loss at Rs 480 and target of Rs 464.
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.
Sudarshan Sukhani of s2analytics.com recommends buying UPL with stop loss at Rs 745 and target of Rs 770 and Titan Company with stop loss at Rs 906 and target of Rs 930.
The scrip formed a solid bearish candlestick pattern on both daily and weekly price chart, and therefore indicating a sustained pressure on scrip which will keep selling regime intact, says Dinesh Rohira of 5nance.com.
On the weekly price chart, the Nifty index formed a solid bearish candlestick pattern coupled with the small bearish pattern on its daily price chart and therefore indicating a negative trajectory.
Rajesh Agarwal of AUM Capital recommends buying RBL Bank with stop loss at Rs 552 and target of Rs 567, Indoco Remedies with stop loss at Rs 194 and target of Rs 210 and Adani Gas with stop loss at Rs 105 and target of Rs 120.
Morgan Stanley said in its view, the existence of the NBFC/HFC business model is not under threat as these companies lend to diverse sections of the economy.
Tight liquidity conditions combined with specific credit issues (IL&FS) led to a big reset for NBFCs as well as housing finance companies (HFCs).
A bearish candle post a Doji indicates an exhaustion of bulls and price may dive to lower levels of a target of Rs 1,125 and a stop loss placed at Rs 1,185, says Mustafa Nadeem of Epic Research.
Technically, the index formed a Bearish Candle on the daily scale which suggests that bears are putting pressure at higher levels.
Rajesh Agarwal of AUM Capital recommends buying JSW Steel with stop loss at Rs 394 and target of Rs 410, Indiabulls Housing Finance with stop loss at Rs 915 and target of Rs 965 and Adani Enterprises with stop loss at Rs 137 and target of Rs 148.
Mitessh Thakkar of mitesshthakkar.com is of the view that one can buy Aurobindo Pharma with a stop loss of Rs 720 and target of Rs 755 and sell Equitas Holdings around Rs 131 with stop loss of Rs 136 and target of Rs 120.
Sudarshan Sukhani of s2analytics.com suggests buying Vedanta with a stop loss at Rs 225 and target of Rs 236, United Breweries with a stop loss at Rs 1300 and target of Rs 1360 and Divis Laboratories with a stop loss at Rs 1260 and target of Rs 1320.
Trends on SGX Nifty indicate a negative opening for the broader index in India, a fall of 22.5 points or 0.19 percent. Nifty futures were trading around 11,560-level on the Singaporean Exchange.
As per the options data, the support level for Nifty is shifted lower compared to last week and the immediate support is seen around 11,500 to 11,400 levels whereas 11,800 will act as a strong hurdle in this expiry.
Rajesh Agarwal of AUM Capital recommends buying HCL Technologies with stop loss at Rs 1058 and target of Rs 1100, JK Paper with stop loss at Rs 168 and target of Rs 179 and Ipca Laboratories with a stop loss at Rs 774 and target of Rs 798.
Sudarshan Sukhani of s2analytics.com suggests buying Piramal Enterprises with stop loss at Rs 2850 and target of Rs 3000, Mahindra & Mahindra with stop loss at Rs 960 and target of Rs 980 and Berger Paints with stop loss at Rs 332 and target of Rs 344.
Mitessh Thakkar of mitesshthakkar.com suggests buying Interglobe Aviation with a stop loss of Rs 1069 and target of Rs 1124, Oriental Bank of Commerce with a stop loss of Rs 79.5 and target of Rs 86 and Pidilite Industries with a stop loss of Rs 1129 and target of Rs 1180.