Intraday Sentiment Analysis

Intraday analysis is analysis for buying/selling or selling/buying the stocks on the same day. The analysis is the top down approach. The parameters to be considered for intraday analysis is different from positional and the intraday analysis needs to be completed in shorter time. Positional analysis focused on demand and supply where is the intra day analysis focused on that day’s sentiment and momentum. Intraday analysis happens on a single day and the settlement happens in the same day. Hence it is mandatory to close the intraday position on the same day, the stock goes for auction and huge penalty will be charged. Asia market starts ahead of indian market, the overall situaltion of the asian market will be reflected in indian market, similarly the impact of the price movement in UK market will be reflected in indian market, so it is important to watch out the global market direction for intra day analysis. Market direction needs to be analysed using the global market movement along with Indian market(Nifty), and need to find whether the sentiment of the market is positive or negative. Foreign Individual Investor(FII) activity also needs to be considered.
Market Advance/ Decline ratio needs to be analysed using the market breath chart(Counterwise and turnover basis) and need to arrive whether it align with the market direction as positive or negative.
Sector Contribution: Based on this direction, need to identify the sector which contributes majorly for this trend and the corresponding sector needs to be selected.
Index Selection: The major index that contributes to the market direction needs to be identified and selected for further analysis.
Stock Selection: The stocks come under that index needs to be analysed on price wise and turn over wise and the stock which is contributing high on both price and turn over