Technical analysis uses statistical data like price and volume history to predict future stock price movements. Charts are a primary tool, including line, bar, volume bar, and candlestick charts. Trends show the general direction of prices over time, either up (uptrend) or down (downtrend). Support and resistance levels indicate price points where a stock has previously found support (stopped falling) or resistance (stopped rising). Moving averages smooth price data to help identify trends. Technical analysis assumes markets discount all information, prices trend over time, and history tends to repeat.

1. Presenting by: RICI SOHANI
STOCK MARKET TECHNICAL ANALYSIS

2. HOW TO DO STOCK MARKET TECHNICAL ANALYSIS
SENSEX is an indicator to checkout in BSE
NIFTY is an indicator to checkout in NSE

3. INTRODUCATION
 Analysis of statistics generated by market activity such as past price and
volume to come up with reasonable outcome in future using charts as a
primary tool.
 Should I take a long position? Should I take a short position? What is
going to be the price tomorrow, next week or next year?

4. Assumptions
 The market discounts everything
 Prices move in trends
 History tends to repeat itself

5. Type of Charts
 Line chart

6. Type of Charts
 Bar Chart

7. Type of Charts
 Volume Bar Chart

8. Type of Charts
 Candlestick Chart

9. Trends
 The meaning of trend in finance isn't all that different from the general
definition of the term - a trend is really nothing more than the general
direction.
 A trend represents a consistent change in prices (i.e. a change in
investor’s expectations)
 A trend line is a simple charting technique that adds a line to a chart to
represent the trend in the market or a stock.

10. Types of Trend
 Uptrends

11. Types of Trend
 Downtrend

12. Support and Resistance
 Support level is a price level where the price tends to find
support as it is going down
 Resistance Level is a price level where the price tends to find
resistance as it is going up

13. Support and Resistance

14. Importance of Support and Resistance
 Support and resistance analysis is an important part of trends because it
can be used to make trading decisions and identify when a trend is
reversing

15. Aware: Support and Resistance levels
 Support and Resistance levels are highly volatile
 Traders should not buy and sell directly at these points as there may be
breakout also

16. Moving Averages
 It is also known as Thumb Rule
 A simple moving average is calculated by taking average of most recent
closing prices of any time period
 Exponential Moving average applies weighting factors which decrease
exponentially

17. Moving Averages

18. BIBLIOGRAPHY
 Technical Analysis A to Z by Steven B. Achelis
 How to make money in Stocks By William J O’Neil
 Investopedia (www.investopedia.com)
 Trade Tiger terminal (www.sharekhan.com)
 Technical Analysis of Indian stock market (www.nse.com)
 Technical Analysis of Indian stock market BSE Sensex Index
(Tradersedge India)

19. Thank you
 2 THINGS WHICH YOU SHOULD ALWAYS REMEMBER ABOUT
STOCK MARKET
1. Rome was not built in a day, but Japan destroyed in a day
2. If you don’t follow the stock market, you are missing some
amazing drama
