GAPS are named relative to the previous price range in trending or trending zone
AREA gap appears in non trending zone
BREAKOUT shows change in trend either bullish or bearish.
never gets filled
price pattern is an extension of dow that show charecteristic of buyer and seller.
double top double bottom, head and shoulder , flag ,triangle are various pattern to understand the trend from the charts
dow theory helps to read the market trend
when the candle crosses HT , take LONG position
when candle crosses LB , take SHORT position
A breakout trader enters a long position after the stock price breaks above
fundamental analysis – study on theworth of the company. needs a lot data to determine near perfect analysis.
technical analysis – study on price and volume of market merely demand and supply chain present in the
FUTURE contract is obligatory to both buyer and seller
OPTION contract is obligatory toseller only.
CALL OPTION – strike price at BULLISH trade, price fixed at more than on date price
PUT OPTION – strike price at
intraday – buy sell on same day
positional – buy and keep for more than one day.
long position – buy when stock crosses previous HIGH TOP
short position – sell stock when crosses previous LOW BOTTOM and BUY on
PRIMARY MKT SHARES ARE MADE PUBLIC THRU IPOAT FAIR PRICE
IN SEC MKT THE SHARES ARE TRADED AT SHARE PRICE.
SEBI THE REGULATOR MONITORS THE STOCK MKT.
BSE AND BSE ARE THE TWO EXCHANGES
SENSEX AND NIFTY ARE INDEX OF