Abstract
A Practical Approach to Stock Selection via Technical Analysis Tools – The Indian stock exchange market has experienced explosive growth in recent years. The Indian Stock market is one of the fastest growing stock market in the world. When the stock market is booming the people are interested in investing in the stocks, but the main concern is lack of knowledge about the stocks in the common man and also about the company in which to invest. So here a question arise, how investors should assess risk in the stocks they buy or sell. The topic behavior of share prices in India with special reference to ‘banking Sector’ has a very wider and in depth scope of analysis for the purpose of dissertation. As we all know India is one of the fastest moving economies and has become a global threat to the developed country like U.S.A., U.K., Japan, etc. The Banking sector is grooming in India at a rapid rate. Share market is the mirror that reflects the growth of economy. Understanding why stock prices move up and down is a central issue for financial economists.
Stock prices change because of new information on expected cash flows, or because of time varying risk aversion and investor sentiment. When a novice trader first enters the marketplace, he or she is bombarded with decisions regarding where to begin and what approach to take when it comes to trading and/or investing. There are as many styles of successful trading as there are traders, and which direction a trader takes is a very personal decision. The purpose of this project is to study how should investors Asses risk in the stock they buy and sell. As we can imagine, the concept of risk is hard to pin down and factor into stock analysis and valuation. Is there a rating–some sort of number, letter, or phrase–that will do the trick? One of the most popular indicators of risk is a statistical measure called beta. Stock analysts use this measure all the time to get a sense of stocks’ risk profiles. Here we shed some light on what the measure means for investors. While beta does say something about price risk, it does have its limits for investors looking for fundamental risk and return factors.
Statement of the Problem
Investment decision is the most important factor in the investment process, which may results in whether achieving higher return or losses. Technical Analysis strategies are considered as the main tool for individual investors to take investment decision. Besides, this study conducted in India on technical analysis during periods of high volatility in the environment due to inflation, Covid Pandemic outburst, economic and political conditions. Apart from macroeconomic problems that are common to other countries within the emerging markets, it is important to realise how technical analysis practices affects stock returns in such markets.
Need for the Study
The overview of present market scenario of has shown us the Boom in Market. In today’s scenario, investment is one of the most fruitful, ever changing and exciting dimensions of our lives. Investment is “an activity by which we employ our savings in a profitable venture to earn a higher and regular return.” The stock market is booming at a very high rate and the number of investors investing in it is also increasing. This study shows why and on what basis an investor can invest, which has always exceeded the expectations of all ranging from small time investors to foreign companies.
Scope of the Study
The investors should have a fair knowledge of the sector and the companies to make value investment. The Scope of the Study is limited to the top 5 nifty holdings. An overall analysis of the companies has been undertaken in terms of the risk level and returns yielded by the companies. The research process will bring visibility for the company and facilitate investors to make informed investment decision. Thus, the Study has much greater scope and applicability with respect to the suggestions given from the analysis and interpretation if these properly implemented. Researchers in common refer to a search for knowledge. One can also define research as a scientific and systematic search for pertinent information on a specific topic. In fact, research is an art of scientific investigation.’ Rodman and Moray’ define research as a “Systematized effort to gain new knowledge” .Here we using the fundamental analysis as research methodology.
Components of a Project Report
A project report varies according to the MBA final year project course at top colleges, depending on the consequences and the requirements of the concerned project. But broadly, a project covers the following components:
- Title page
- Table of contents
- Introduction
- Background of the project
- Project objectives
- Methodology
- Results
- Discussion and Analysis
- Conclusion
- Bibliography or references
- Appendices
Project Report Pages : 80
Can be used in : Finance Final Year Project
Delivery Time : Within 2 hours.
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