The age-old battle of between fundamental and technical analysis will always continue. Both methods of analyzing a stock are powerful and have their own strengths and weaknesses. However, in the stock market, prices are largely driven by the new information. The market participants assess the new information and analyse its potential positive or negative impact on the stock. Based on their perception of new information, they take buy or sell positions in the market.
After successful triumphs over US and UK in the last decade bears are back in business in 2015 and this time they have laid their eyes on the world’s fastest growing economy China. It has been fueling the global economic growth for past several years and any slowdown will have repercussions not only on world markets but also on major asset classes.
In order to gauge a country’s economic performance, one can look at key economic parameters like Money market (Interest Rate), Economic growth (GDP Growth Rate), Business performance (Industrial Production), Consumer confidence (Retail Sales), Trade analysis (Exports), Housing sector (Newly Built Home Prices), Investment (Capital Flows), Government reserves (Foreign Exchange Reserves) and finally Equity markets (Shanghai). Let us understand how China’s financial and economic indicators are performing in the current scenario.
Any rumor or news can break out from any source. As highlighted in our previous blog post, A Needle in the Digital Haystack, spotting opportunities from these new data sets is very valuable. A trading opportunity can come from any source at any time, which makes it necessary to track a huge number of sources but also filter out noise at the same time.
15-Minutes Built Up Screen
In today’s edition of our Glassdoor Friday we are featuring 15-Minutes Built Up Screen – a unique tool in our derivative analytics product designed to spot price trends in real-time. This screen gives a snapshot every 15 minutes of whether the long or short positions were created in a particular stock or an index. It analyses the open interest (OI) position in real time and gives a breakup of fresh and square-off contracts along with volumes.
Short selling is always considered to be a risky bet and retail participants tend to stay away from it. However, using our distinct tool, one can spot where the short or long positions are created in real-time by looking at fresh and square-off contracts along with the movement in price and volume. It not only helps you to make timely entry but also indicates you when to exit from your long or short positions.