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Stock Quest | |||||
A stock chart refers to the chart displaying the movement of the price and
quantity of a specific commodity or shares at different levels of time.
That time can be on yearly basis, monthly basis or even weekly basis.
Here we can identify that specific stock as the stock we are interested
in. If we are interested in commodities than that stock can be of pulses,
sugar spices or any other. The share traders may have company shares that
can be any of kind, i.e. IT shares or it may be of some manufacturing
sector, or even that of a service sector. Here we will try to take those
people who are interested in share trading of companies along with those
who are interested in trading commodities.
Stocks: A stock chart helps in the proper evaluation of the available stock of commodity. And on the other hand helps the shareholders to evaluate the real reserve of raw or finished goods with the company. All that along with the present and old valuations of the commodity. Thus a stock chart is necessary at the decision making time. So that a person can decide either to invest or divest in the specific stock or shares.
Shares: A stock chart has amount and value of the stock at different time of the years. That can based as weekly, fortnightly, monthly, Quarterly or even yearly. In the same way it shows the value of shares at different time of the year or years. Thus a method of calculating the real value of the stock, its future demand and supply position affecting the value of stock can be calculated.
Stocks: Firstly talking about the stock of the commodity. An average of the
value of stock of the commodity should me made. If the value is higher
than the present value than the stock is bound to increase its value in
near future, other factors remaining the same. And on the other hand if
the value of the stock is less than the present value, than a quick decision
of selling the stock at the best possible high rate can be done. Now looking
at the amount of stock. If the amount of stock reserve is more than its
peak season than its value will decline in future. And if the amount of
stock reserve is less than its peak season than there is no fear of devaluation
of that specific stock in the market.
Shares: Now lets talk about the shares. An average of the market price of the share should be calculated. If the amount coming out is more, than those shares is bound to decline. Not like the stocks i.e. to increase at such time. Reason being that such shares have lost their value due to some factors that have effected its margin and profitability. A new investor thus doesnt have any information of its old factors. That led to the downfall of the share. Similarly, if the present value of the share is more than its average value calculated. Than that is a growing stock. And a decision-maker can depend on that share for good returns on the investments.
Thus, Stock chart helps in the process of decision making. It helps in making
more accurate and fruitful decisions. The only trouble one may find is
that of arranging such charts. Now asking for the stock chart from a share
broker can solve that problem. And still if not satisfied that there are
many sites of various stock broking companies, that will guide in the
process of fetching information regarding the stock chart in which a person
is interested in. Just enter the name of the interested stock and get
the stock chart.
Things to be noticed while looking at the stock chart:
1) Note down on the separate paper the time, when it way higher than its average. And vice versa.
2) Notice the various factors resulting in the upward or downward movements of the stock.
3) Get yourself the latest data regarding the future plans and prospectus of the company.
4) Compare the movement of the chart with other stock in the same field. And evaluate the out performer in many cases at different time.
5) And last but not the least, count the convincing points and find out if they are more than non-convincing points. This should be done so that if a person realizes that he has made some mistake while selection then he/she cant blame short of time or anyone else.
Now when all things are done make a final decision of investment. And of course
not to forget, If the decision does not comes out good than in any condition
do not blame anyone else. Because the reason can be simple, but missed
by you yourself only. And as they say, Try try again until you succeed.
After all no body is born perfect. But this does not mean no one can be
perfect. Instead always think that I am going to be perfect soon. The
need is just to understand some concepts and get some practical experiments
that will later help me in getting perfect.
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