Brief Bullish Blogs

WHAT IS BSE SENSEX The BSE SENSEX is a stock market index of 30 financially sound companies listed on the Bombay Stock Exchange in India. These companies represent diverse sectors of the Indian economy and are some of the most extensive and actively traded stocks. The index has been published since 1986 and is considered an essential indicator of the Indian stock markets. The base value of the index was taken as 100 on 1 April 1979, and a dollar-linked version of the index called DOLLEX-30 was launched on 25 July 200 1. DERIVATION OF BSE SENSEX Imagine you're standing on a platform in the middle of a bustling railway station, trying to navigate your way through the throngs of people. Suddenly, you hear a piercing whistle, and the train pulls into the station with a loud screech of its brakes. The SENSEX is a bit like that train, hurtling through the stock market with incredible momentum and force. But what exactly does SENSEX mean? Well, let's break it down . The first par...

 WHAT DO YOU MEAN BY NIFTY50 ? The NIFTY 50 is a stock market index in India that represents the weighted average of 50 large Indian companies listed on the National Stock Exchange. It is owned and managed by NSE Indices, which is a subsidiary of NSE Strategic Investment Corporation Limited. The index was launched on 22 April 1996 and was previously co-branded with Standard & Poor's until 2013. The NIFTY 50 index is a popular financial product in India, consisting of 50 large Indian companies listed on the National Stock Exchange. It has a large ecosystem including exchange-traded funds, futures, and options. The index covers 13 sectors of the Indian economy and offers exposure to the Indian market in one portfolio. As of January 2023, financial services have the highest weightage at 36.81%, followed by IT, oil and gas, consumer goods, and automobiles . The index's share of the NSE market fell from 65% to 29% between 2008 and 2012 due to the rise of sectoral indices...

INTRODUCTION "One Up On Wall Street" is a book written by Peter Lynch, a former mutual fund manager, that provides insights on investing in stocks and making intelligent investment decisions. The book guides beginners and intermediate investors who want to understand the stock market and how to pick good stocks. WHAT PETER LYNCH COMMUNICATES The book is divided into three parts. The first part is an introduction to investing, where Lynch shares his philosophy on investing, and provides tips on how to start investing in the stock market. He emphasizes the importance of doing your own research and not relying solely on the opinions of financial experts. The second part of the book is about how to analyze companies and pick good stocks. Lynch explains how to evaluate companies based on their financial statements, and how to look for signs of growth and potential. He also discusses different types of stocks, such as slow growers, stalwarts, fast growers, and turnaround stocks,...

  "WHAT THE BOOK IS TRYING TO SUGGEST " "The Intelligent Investor" is a book by Benjamin Graham that provides a comprehensive guide to investing in the stock market. The book emphasizes the importance of a disciplined and patient approach to investing, focusing on buying stocks at a discount to their intrinsic value and holding them for the long term. PART: 1 The book is divided into several parts, each covering a different aspect of investing. Part one focuses on investing principles, including the difference between investing and speculation, the importance of analysis and research, and the need for diversification and risk management. PART: 2 Part two covers the various types of stocks and bonds investors may encounter, including common stocks, preferred stocks, and bonds. Graham explains the advantages and disadvantages of each type of investment and guides how to evaluate their potential returns and risks. PART: 3 Part three covers building a stock port...

FUNDAMENTAL ANALYSIS Fundamental analysis is a method used in accounting and finance to analyze a business's financial statements, its competitors, and the market to determine its health . It considers factors such as interest rates, employment, and management. The analysis can be performed using either a bottom-up or top-down approach. Its objectives can include stock valuation, performance projection, risk evaluation, and determining intrinsic share value. The analysis uses historical and present data to make financial forecasts. THE BATTLE OF FINANCIAL MODELS Investors use two methodologies to determine what stock to buy and at what price: fundamental analysis and technical analysis . Fundamental analysis looks at economic, industry, and company analysis to determine the intrinsic value of a share. If the intrinsic value is higher than the market price, buying is recommended, if it's equal, holding is recommended, and if it's lower, selling is recommended. Technical ...

      TECHNICAL ANALYSIS OF THE FINANCIAL MARKET In finance, technical analysis is a method of studying past market data, like price and volume, to predict future price trends. It shares tools with behavioural economics and quantitative analysis but contradicts modern portfolio theory. The efficient-market hypothesis disputes the effectiveness of both technical and fundamental analysis, claiming that stock prices are unpredictable. Research on the benefits of technical analysis has produced mixed results . "ECHOES OF THE PAST: WHY HISTORY HAS A HABIT OF REPEATING ITSELF" Technical analysts believe that investor behaviour often repeats itself, creating recognizable price patterns on a chart that can predict future price trends. The technical analysis considers price trends and may also use surveys of investor sentiment to anticipate trend reversals. For example, if a survey shows overwhelming bullishness, it suggests that most investors have already bought the market an...

  HISTORY OF THE FOREIGN EXCHANGE MARKET Ancient History Long ago, people exchanged money and bartered things like food and pottery using unique coins made of valuable materials like gold or silver. Money-changers helped others exchange their coins and charged a fee for their service. In ancient Egypt, people used coins to buy and sell things. T he size and material of the coins determined their value. If one type of coin had more gold or silver than another, merchants could exchange fewer of the first type for more of the second or for other goods. This is why many world currencies used to have their value based on a fixed amount of gold or silver. Medival History' I n the 15th century, the Medici family, textile merchants, needed to exchange currencies in foreign locations. T o make this easier, they created a "nostro account" book that showed the amounts of foreign and local currencies in two columns. In the 17th or 18th century, Amsterdam had an active foreign exc...

WHAT IS SHORT SELLING? Short selling in finance involves investing in a way that results in profit if the asset's value decreases, which is the opposite of a long position. Short positions can be achieved through selling borrowed assets or through derivatives like futures, forwards, options, or swaps . A short seller may need to pay a fee to borrow securities and may need to post margin as collateral to ensure that they can meet any liabilities. Short selling is a common practice in public securities, futures or currency markets that are fungible and reasonably liquid/ and may be used by speculators to profit from an overvalued instrument or by traders or fund managers to hedge certain risks in a portfolio. Banning short selling has been found to be ineffective and has negative effects on markets. However, short selling faces criticism and hostility from society and policymakers at times. SHORT SELLING CONVICTION Sometimes people borrow things called securities so they can sell th...