Showing posts with the label Stock Market

Factors for change in Gold Prices

What moves Gold Prices?The price of gold is moved by a mix of supply, demand, and investor behavior. That seems simple enough, yet the way those factors work together is usually counter-intuitive. for example, many investors consider gold as an inflation hedge. That has some common-sense plausibility, as folding money loses value as more is printed, while the availability of gold is comparatively constant. because it happens, gold mining doesn't add much to supply from year to year. Gold is employed to hedge inflation because, unlike the currency , since its supply doesn't change much year to year. Studies show that gold prices have positive price elasticity, meaning the value increases besides demand. However, the investment rate of growth of gold over the while has not been meaningful, whilst demand has outpaced supply. Since gold often moves higher when economic conditions worsen, it's viewed as an efficient tool for diversifying a portfolio.

Relation Between the Stock E…

What is Nifty, Sensex and Banknifty?

What is a Stock Market Index?A stock market index is a unit that measures a stock market, or a subset of the stock market, that helps to compare current price levels with past prices to calculate market performance. Similar kinds of stocks are chosen and grouped together. Criteria of stock selection could be the market capitalization, type of industry, or the size of the company. Any change happening within the underlying stock prices impact the general value of the index. If the costs of most of the underlying securities rise, then the index will rise and vice-versa. Let us discuss 3 major Stock indexes of the Indian Stock Market. What is Nifty 50?Nifty 50 is a stock market index. It was introduced by National Stock Exchange on 21 April 1996. It is a benchmark showcasing the top 50 stocks listed on National Stock Exchange. Nifty is an abbreviation of the National stock market Fifty. These stocks are from across 12 sectors of the Indian economy which include – financial services, infor…

Dividend - Definition and Examples

What is a Dividend?Dividend refers to a gift, cash or otherwise, that a corporation gives to its shareholders. Dividends are often issued in various forms, like cash payments, stocks, or other forms. Normally, companies pay dividends on a daily basis (often quarterly). Sometimes, they'll elect to pay a one-time dividend, as well. After paying its creditors, a corporation can use part or whole of the residual profits to reward its shareholders as dividends. However, when firms face a cash shortage or when it needs cash for reinvestment, it can also skip paying dividends.
How do Dividends work?For every dividend stock you own, you get paid a part f companies profit. For Example, let's say, if stock X is trading at 1000 INR per share, and it pays a total of 50 INR in dividends this year, then its dividend yield is 5% (since 50 INR is 5% of 1000 INR). Since a stock's price will change on a day to day, so will its dividend yield. The dividend yield will move up or down inversely…

Impact of COVID-19 in Stock Market

COVID-19 is an infectious disease caused by a unique virus called Corona Virus. This unanticipated disease has spread worldwide from the end of December 2019. Considering the contagiousness of this virus most areas of the globe went into a Lockdown. Every small and big business has been affected due to this virus. So let us discuss how it has impacted the Indian Stock market. PreCOVID-19 Indian Stock market Rally was limited to 8 to 10 Blue Chip Stocks like HDFC Bank, HDFC, TCS, Infosys, Hindustan Uniliver, Reliance, Kotak Bank and ICICI Bank. Because of these stocks in 2019 Sensex returned around 14%. In the start of 2020 in Mid January Nifty and Sensex were hitting their peaks at Nifty@12362 and Sensex@42217. Ever since the COVID-19 strike, fear came in the market and it sent the world to the crashing to the levels that were not witnessed since the Global Financial Crisis of 2008. Indian market lost 27% from the levels witnessed at the start of the year. The stock market reflected th…

Top 10 books to learn Technical Analysis

Technical Analysis is one of the most Important Terms used by Traders or Investors. Irrespective of the fact that you are an Intraday, Short Term, or Medium-term trader you can not deny the Importance of Technical Analysis to make the right entry or Exit in a  Trade. Technical Analysis is more of an art than a rigid science. 
In this article, we will know about the Top 10 Books for Technical Analysis as per our opinion. You must read these books to know the technical analysis in detail,
1. Technical Analysis of the Financial Markets: A Comprehensive Guide to Trading Methods and Applications (New York Institute of Finance)

It is a Comprehensive Guide To Trading Methods And Applications by John J. Murphy is a superb reference that attempts to show traders the complicated relationship between technical analysis and stock markets. The book also contains ultra-modern examples and quotations associated with the stock markets that further make it easier for the readers to grasp the concepts. Te…