Market Analysis With Megh Mody

The Nikkei 225, more commonly called the Nikkei, the Nikkei index, or the Nikkei Stock Average ,is a  stock market index  for the  Tokyo Stock Exchange  (TSE). It has been calculated daily by the  Nihon Keizai Shimbun  (Nikkei) newspaper since 1950. It is a  price-weighted index  (the unit is  yen ), and the components are reviewed once a year. Currently, the Nikkei is the most widely quoted average of Japanese equities, similar to the  Dow Jones Industrial Average . In fact, it was known as the "Nikkei Dow Jones Stock Average" from 1975 to 1985. The Nikkei 225 began to be calculated on September 7, 1950, retroactively calculated back to May 16, 1949. Since January 2010 the index is updated every 15 seconds during trading sessions. The Nikkei 225 Futures, introduced at  Singapore Exchange  (SGX) in 1986,  the Osaka Securities Exchange  (OSE) in 1988,  Chicago Mercantile Exchange  (CME) in 1990, is now an internationally recognized futures index.  The Nikkei aver

The Hang Seng Index is a freefloat-adjusted market  capitalization-weighted   stock market index  in  Hong Kong . It is used to record and monitor daily changes of the largest companies of the  Hong Kong stock market  and is the main indicator of the overall market performance in Hong Kong. These 48 constituent companies represent about 60% of capitalisation of the Hong Kong Stock Exchange. HSI was started on November 24, 1969, and is currently compiled and maintained by Hang Seng Indexes Company Limited, which is a wholly owned subsidiary of  Hang Seng Bank , one of the largest banks registered and listed in Hong Kong in terms of market capitalisation. It is responsible for compiling, publishing and managing the Hang Seng Index and a range of other stock indexes, such as Hang Seng China Enterprises Index, Hang Seng China AH Index Series, Hang Seng China H-Financials Index, Hang Seng Composite Index Series, Hang Seng China A Industry Top Index, Hang Seng Corporate Sustainabilit

IDFC is been in news in Dalal Street from some time especially when there was an outbreak that IDFC has more chances to get the banking license then the other candidates. Many analysts, brokers, investors and traders are very bullish for this stock. Does news really drive the stock prices? To know the answer we used Elliott Wave analysis to get the objective answer. This advance technical analysis is very useful tool to take proper trading decisions and helps to initiate trade with proper risk/ reward ratio. From the below daily chart we can observe that prices has given a bullish break in the falling red channel which has pushed prices higher till 106 after giving break on 4 th March 2014. Is this breakout going to sustain? Or it will start its down move? We have used Elliott Wave which says that one more leg on the downside is still pending which can come very soon before the up move starts. The reason is after making a high of 117 in the month of December 2013 price

Banking stocks has always been in demand especially from past 1 week which has pushed the Banking index till 11947 from 10664 in five trading days. We have covered one of the Banks which fall in this index which is PNB. Punjab National Bank is moving in a down ward sloping channel from past 3 years which clearly suggests that the trend is negative as it is continuously moving below its previous pivot lows as seen the below daily chart. We can also see that prices have arrived near the resistance of the channel which is not a healthy sign for this banking stock. We have used time cycle of 18 days to understand the possible reversal of this stock which comes on 21 st of March 2014. The important observation in time cycle is after every 18 days it makes two bottoms followed by two tops. The 2 bottoms before the making of the top were 24 th February 2014 and 29 th January 2014. We have also used Elliott Wave analysis to find out the termination of the current wave on the

From the below Daily chart of Reliance Capital one can observe that prices are moving in a range of 390-295. This stock is moving in this 100 pts range from past 11 months and it seems that this is going to continue for further months. Reliance Capital has been in news from some time but it has always underperformed despite of issuing banking license, issuing the banking license is still a myth but the stock started correcting especially after making a high of 407 on 9 th December 2013 when Nifty made a high of 6415, thereafter it started moving down till its lower extreme of the range and made a low of 304 on 28 th February 2014. What is the next move for this ADAG stock? By using Elliott wave Analysis we came to the conclusion that this high beta stock is on the brink to complete its basing formation and can start to outperform very soon. We are aware that prices has given a bullish break in falling red channel pattern which is visible on the charts, we are also awa

Ending Diagonal pattern popularly known as Wedge is always difficult to identify especially in making. Normally in wedge pattern we can see that prices are making higher highs and higher lows but the momentum on the upside slows down. In relation to this we can also compare it with Relative Strength Index (RSI) where it will form lower highs and lower lows which will give a negative divergence. Such divergence will give an indication that upside is capped and there are high chances for market to reverse. We will explain further on ending diagonal pattern but before that we will show where ending diagonal has occurred and how it has impacted the markets. The wedge pattern has occurred before the fall of 2008, before the fall of 2013 and the recent fall of 2014 where it eradicated more than 300 points. This wedge pattern has occurred on smaller time frame. Ending Diagonal Pattern is one of the pattern which occurs in wave 5 or in wave C. It is drawn with the help of two trend

Shares of Reliance Power were buzzing in trade on Friday as it gained 3 percent intraday. Sources said that CBI is likely to close its preliminary enquiry to probe coal block allocation in Reliance Power ’s Sasan project. Sasan power project is an ultra-mega power project with an installed capacity of 4000 MW. The first unit started producing power on March 30 while the second unit started production on December 13. The company's overall generation capacity has crossed 3,200 MW. Reliance Power is executing three UMPPs in Sasan (Madhya Pradesh), Krishnapatnam (Andhra Pradesh) and Tilaiya (Jharkhand). Does news really drive the stock prices or it is the advance technical study that has made aware that the trend is changing.  Reliance Power Daily Chart From the daily chart of Reliance Power, from past 4 months this stock is moving in a range of 80-66 levels. Recently it bounced from the level of 70 and it is capable in moving up till …. levels which is a very good resi