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Technical Analysis.pptx

TECHNICAL ANALYSIS

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Jeena Antony
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Technical Analysis.pptx

TECHNICAL ANALYSIS

Uploaded by

Jeena Antony
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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SECURITY ANALYSIS AND

PORTFOLIO MANAGEMENT

Ms. Jeena Antony


Naipunnya Institute of Management and Information Technology,
Pongam, Koratty, Thrissur
FINANCIAL AND ECONOMIC MEANING
SECURITY ANALYSIS METHODS

• FUNDAMENTAL ANALYSIS
• TECHNICAL ANALYSIS
• EFFICIENT MARKET HYPOTHESIS
ECONOMIC ANALYSIS

I. Growth Rates
II. Inflation
III. Interest Rates
IV. Government Revenue, Expenditure and Deficits
V. Exchange Rates
VI. Infrastructure
VII. Monsoon
VIII. Economic and Political Stability
INDUSTRY ANALYSIS

• INDUSTRY LIFE CYCLE

• INDUSTRY CHARACTERISTICS
• Demand Supply Gap
• Competitive Conditions
• Permanence
• Labour conditions
• Attitude of Government
• Supply of Raw materials
• Cost structure
COMPANY ANALYSIS

• Financial Statements Analysis

TECHNICAL ANALYSIS
COMPANY ANALYSIS

• Business Model
• Market Share
• Customers
• Growth of Sales
• Competitive Advantage
• Management
• Labour and other industrial Problems
• Financial Analysis
TOOLS FOR COMPANY ANALYSIS

• Sources
• Balance Sheet
• Income Statement
• Cash flow statement
• Auditor’s report
• Corporate governance reports
FINANCIAL RATIOS

• RETURN ON EQUITY
• EARNINGS PER SHARE
• PRICE EARNINGS RATIO
• PROJECTED EARNINGS GROWTH
• DIVIDEND PAYOUT RATIO
• PRICE TO SALES RATIO
• PRICE TO BOOK RATIO
• DIVIDEND YIELD
• BOOK VALUE
ADVANTAGES OF FUNDAMENTAL
ANALYSIS
INDICATORS AND OSCILLATORS

• SIMPLE MOVING AVERAGES


• EXPONENTIAL MOVING AVERAGES
• MARKET BREADTH
• ADVANCE DECLINE LINE
• RSI
• ROC
• STOCHASTIC OSCILLATORS
DOW THEORY

• PRIMARY WAVE
• SECONDARY WAVE
• MINOR WAVE
ELLIOT WAVE THEORY
MARKET EFFICIENCY
PHASES OF PORTFOLIO
MANAGEMENT

• Security Analysis
• Portfolio Analysis
• Portfolio Selection
• Portfolio Revision
• Portfolio Evaluation
CALCULATION OF BETA
(SYSTEMATIC RISK)
CALCULATION OF COEFFICIENT OF
CORRELATION
CALCULATION OF ONGC STOCK

ONGC BSE Index Y2 X2 XY


Return (Y) (X)
8.53 7.56 72.76 57..15 64.49

9.65 8.46 93.12 71.57 81.64

12.25 10.30 150.06 106.90 126.18

9 12.25 81 150.06 110.25

13.75 11.75 189.06 138.06 161.56

6.65 9.42 44.22 88.74 62.64

59.83 59.74 630.23 611.68 606.76


STANDARD DEVIATION OF X AND Y

= (12 X 725.11) – (4.06 X 20.78)


(12X 730.12) – (4.06)2 (12X942.08)
– (20.78)2

=8616.96/951.15 = 0.88
•
BETA

•
BETA
Thank You

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