An easy-to-see, obvious reversal is the Island Reversal. It provides a dramatic reversal in that the enthusiasm that sent a price in a particular direction is countered with the same enthusiasm going the other way. In the example of Orbital Sciences Corp. ORB, Figure 29, the up-trend can be easily seen. At the top, after the buying enthusiasm created a long bullish candle, the
Money Making Candlestick Formations Candlestick Line Hammer An important bottoming candle-stick line. The hammer and the hanging man are both the same line, that is a small real body (white or black) at the top of the session’s range and a very long lower shadow with little or no upper shadow. When this line appears during a downtrend it becomes a bullish hammer. For
RSI – Relative Strength Indicator Developed by J. Welles Wilder and introduced in his book, New Concepts in Technical Trading Systems, the Relative Strength Index (RSI) is an extremely popular momentum oscillator. The RSI compares the magnitude of a stock’s recent gains to the magnitude of its recent losses and turns that information into a number that ranges from 0 to 100. It
CONTRACT SPECIFICATION FOR INDEX OPTIONS On NSEs Index Options market, contracts at different strikes, having one month, two month and three month expiry cycles are available for trading. There are typically one month, two month and three month options, each with minimum seven different strikes available for trading. Hence at a given point in time there are minimum 3 x 7 x 2 or
BSE Or Bombay Stock Exchange Going for an investment in a stock market requires a good research and knowledge of the market. You should know how different sections of the stock market works. You should also have some idea about BSE, NSE, NASDAQ…etc and their roles in the stock market. You should never try to forecast what is going to happen in the stock market. So before
Do and dont’s for stock market investments What must I do now? This is the question probably every equity investor would have asked himself a number of times in the past few months. With the stock market moving to dizzying heights before succumbing to gravity, it’s easy to get nervous or over-excited. Here’s what we suggest you do when the bulls and bears kick
Stocks tips for the smart investor MUMBAI: While stock markets have tanked over the past month, the growth trajectory of corporate India seems to be on track. Leading companies in sectors like engineering, automobiles, petroleum and software are expected to bring out numbers that display strong profitability in the coming year. The earnings for the 30 stocks which comprise the sensex are expected
Investors: Those who expect minimum 30-40% appreciation and are willing to hold between two months to a few years. They enter only long positions and usually select a scrip based on fundamental analysis. Medium-long term investors can utilise technical analysis to time their entry and profit booking better. Day traders: Day traders enter long/short trades to square up the same day.
In the primary market, securities are offered to public for subscription for the purpose of raising capital or fund. Secondary market is an equity trading venue in which already existing/pre-issued securities are traded among investors. Secondary market could be either auction or dealer market. While stock exchange is the part of an auction market, Over-the-Counter (OTC) is a part of the dealer market.
The trading on stock exchanges in India used to take place through open outcry without use of information technology for immediate matching or recording of trades. This was time consuming and inefficient. This imposed limits on trading volumes and effic iency. In order to provide efficiency, liquidity and transparency, NSE introduced a nationwide, on-line, fully-automated screen based trading system (SBTS) where a member can