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 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.
The market is expected to remain rangebound, though the overall trend continues to be positive. Below are some trading ideas for the near term.
Experts see less chance of a major correction, with the Nifty likely to take support in the 24,200-24,000 zone, whereas 24,800-25,000 may act as a resistance area. Here are some trading ideas for the near term.
Incentives for making drones and their components and the outsourcing of defence training simulators were the recent triggers for the surge in this stock’s price.
On the higher side, now 13,500 holds a maximum open interest in Calls which should act as an immediate hurdle for Nifty.
Even management commentary gave the market a confident outlook to withstand businesses against the COVID spread and its impact.
Pankaj Jain of SW Capital is of the view that one may buy HCL Info with a target of Rs 62.
Vishal Malkan of malkansview.com is of the view that one may buy Tech Mahindra with a target of Rs 525.
The approach of investing towards small to midcap in a scenario where the market is trading at record highs should be based on core fundamentals and not momentum in the stocks.
Hemen Kapadia of KRChoksey Securities is of the view that one may sell Zen Technologies on rise.
Manish Sharma of Derivative Trading Research advises buying Voltas with a target of Rs 295.