END OF THE DAY REPORT (05 MAY 2015):
Market ends on a flat note; Metals stock zooms while PSU Bank falls.
The market rebound on the back of unabated buying support in metal shares as well as gains in ONGC and Kotak Mahindra Bank such stocks helped offset most of the losses and ends on a flat to negative note amid volatility. Nifty dips 11 points ends at 8320 while Sensex falls 50 points ends at 27440.
HEADLINES FOR THE DAY:
- Metals stocks were in focus; SSLT gains 6 percent.
- Voltas surged as much as on launch of Fresh-Air Coolers today.
- Pantaloons Fashion moved higher on merger of Madura Garments.
- HDIL moved higher on start of TDR generation.
- TCS gains after rating agency CLSA upgrade stock rating to buy from outperform.
KEY STOCKS FOR THE DAY:
- Defense equipment and manufacturers stocks like BEML, Astramicro were in limelight on expectation of favorable regulatory changes that will accelerate investment flow into the sector.
- DLF gains on the reports which indicate that company will improve its debt quality by raising money in Q1.
- Shares of IT stocks gains after rival cognizant reported 43 percent rise in net profit.
- Sun Pharma moved higher, rising on unit Taro’s price hikes.
- ONGC gains for the second consecutive day, govt will foot the entire subsidy bill that oil marketing companies incur on selling LPG and kerosene below market prices in Financial Year 2016.
- Auto stocks ended mixed after previous day gain on the back of strong sales numbers.
- NIIT Tech gains after said that companies operating profit up by 15 percent stood at Rs 99.7 crore for the March quarter. Revenues jump 2.7 percent.
- Shares of Kotak bank gains after reported 29 percent which is better than expected Q4 number stood at RS 527 crore on yearly basis. Company also declared 1:1 bonus while NPA improved to 1.85 percent v/s 1.98 percent.
- SKS Mircofinance zooms as Q4 net profit up 50 percent on yearly basis, company’s standalone net profit stood at Rs 40.54 crore.
- South Bank Q4 net profit dips by 87 percent profit stood at 16.3 crore v/s 124.6 crore last year.
- SPARC dips in last trading hours after reported net loss in Q4 at Rs. 9.4 crore
SOME STOCKS FOR NEXT TRADING SESSION:
- TV Today EQ had given breakouts of its important resistance of 243.25 and able to give closing above it, further more buying may be seen entre above 248.50 targets 251/253.50/256 SL 246.
- GATI EQ shown good recovery from lower levels, Fresh buying could be seen, Buy above 226 targets 228.20/230.50/232.80 maintain SL of 223.50.
- European shares dips after the release of upbeat unemployment data (Spanish unemployment data) as investors remained alert amid ongoing Greek debt negotiations.
- Australia fall as losses led by Materials and Resources, Metals & Mining sectors .
Techniques Of The Stock Trading
There are several different kinds of investment available, you can process to invest in stocks, mutual funds and more, but single stock trading may have many forms of trading, which are common stock, convertible stock, preferred stock and restricted stock. Basically trading performs in many different segments such as commodity, currency and stock segments. These types of resources will assist you to study the difference between each and also help you recognize derivatives like as stock, commodity, options and currency warrants with special Stock Tips and Option Tips.
Trading is very interesting, but riskier game, before start trading you need to chose trading type like as online trading or offline trading. Today, the number of traders for online trading is grater as compared to offline trading. For profitable trading, you need a broker or broker services, sometime it may be chargeable. The stock broker selection is a very difficult task to all the new traders.
Teach yourself in a dissimilar kind of stock trading, so that you are able to reach a conclusion upon what to test and how to measure.
Here the primary question arises, what kind of share trader you want to become, it totally depends on your sense of ‘yourself’ and Different kind of trading needs a different kind of personality, time accessibility. You should choose particular trading segments which may be suited for you.
According to the time duration of stock holding, there are many stock trading are available which are as follows
Day Trading: It is a category of stock trading in which both buying and selling of a stock are finished on the same working day and all the trading process are completed earlier than the closing time of the market. Investors who contribute in day trading are also known as active traders or day traders. Active traders can trade well in index trading if they have basic knowledge about index trading, Nifty Tips. In these types of trading, traders need fast judgment and fast process.
Short Term Trading: A trading time of a particular trade is more than one day to couple numbers of weeks, and then it is considered as a short term trade. A particular stock is purchased and detained in place from one trading day to a few trading weeks. A small trade is processed by making a sell point, which is given by purchasing after one trading day or in a few trading weeks.
There are two main trading types of short term trading are Swing trading and pattern trading.
Medium Term Trading: In this trading, time may be from a few trading weeks to up too few trading months, due to this called Medium Term Trading.
Swing trading with big time period and Elliot wave trading are the technique of this kind of stock trading.
Long Term Trading: Long Term Trading is basically available for long term investment where a percentage of risk is less to the other trading types and profit margin is also low and the stock is held for several trading months to many trading years. Decision for long term Investment is created by fundamental examination of a stock. When the company is on growing conditions, dividends and definite bonuses attract by this kind of stock trading.
We are showing below different kind of trading segments which name is forex or currency trading
Forex Trading is the different trading segment where currencies of different countries are traded for each other. Forex is the short form of Foreign Exchange. This kind of trading expands on all over the world. For better trading, forex traders need an appropriate guidance and superior Forex Tips.
For better understanding we take an example, a forex trade is to purchase the Euro while at the same time selling US Dollar. This is known as going long on the EUR/USD. In this trade, the price of both currencies is measured on trading result.
How Does Forex Trading Execute?
Forex trading is usually done by a broker. To perform forex trading, forex trader can decide a currency couple that you want to swap in value and position a trade accordingly. For example, when you had bought 2,000 Euros in 2 Feb-2006, it pays you approximately $2,200 USD was worth to the $2,300 U.S. Dollars at the end of year. When you had selected to the end position of your trade at that position, you would contain a $200 increase.
Forex trades can be processed by a broker or market maker. Here to order take place with just a click and the broker help to execute the order and passes along to an associate in the Interbank Market to place your position. If you close your position, the broker immediate closes the position on the Market and credits your account with the profits or loss.
Index Option Trading
Index option trading begins in 1981, and that was the time of rising for the stock market. These options are the specific options, where the underlying assets are in more than a single stock. A stock trader and speculators perform trade in index options to achieve exposure to the whole market or definite part of the market with a solo trading choice, require Option Tips and frequently one transaction. For getting the same stage of multiplicity buy single stocks, single stock options need several transactions and resulting slower judgment making and advanced costs.
Leverage & Sated Risk for the Buyer
Trading index options provides to the stock investor leverage and set risk as like equity options. Buyer of the index option increase leverage when the premium paid according to the agreement value is small. Therefore, in case of small percentage progress related to the underlying index, holder of the index option can observe big percentage increase for his location. Moreover, risk is fixed when the large number of index option investors can drop the premium paid to grip the options.
The size of contract multiplier is about $100 in case of index option. The contract multiplier is employed to analysis the cash value for index option agreement.
Index option premiums are estimated in international currencies such as dollars and cents, similar to equity options. The value of a single equity index option agreement can be calculated by multiplying the excerpted premium sum by the contract multiplier. An index option buyer will require amount to buy the option and the different kind of amount for index option writer will obtain if sell the option. In case of index options, cash-settled options are used, the stockholder does not have the right to buy or sell the underlying assets.