Roof of the Stock Building

Intraday analysis is the method of analysis to identify the stocks that needs to be traded(bought & sold) in the same day to make income/profit. Intraday analysis is based on market sentiment, i.e, Market direction, Sector contribution and selecting the stock trading with high volume. The Intraday analysis follows the top down approach in selecting the stocks to be traded whereas in positional analysis the stock is picked first and analysis is done on it to identify the price movement. The IDEAL time for trading Intraday would be between 10 am to 11.30 am in the morning and between 1.30 pm to 2.45 pm in the afternoon.Because by 11.00A.M the impulsiveness of the market will be over and by 3.00 P.M the panic/greed of the closing time is yet to come. 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. Based on this direction, need to identify the sector which contributes majorly for this trend and the corresponding sector needs to be selected. The major index that contributes to the market direction needs to be identified and selected for further analysis. 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 needs to be selected for trading.