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A

PROJECT REPORT

ON
TECHNICAL ANALYSIS OF EQUITY SHARE

WITH SPECIAL REFERENCE TO GROWTH SHARES

A Project report submitted for the partial fulfillment of MBA


2008-2010

SUBMITTED BY:
Jyoti Prakash Barik
Bhubaneswar Stock Exchange Ltd.
Regd No-0806260005

Under the guidance of


Pof Anam Charan Raul
Faculty, RIMS Rourkela
ROUR
KELA INSTITUTE OF MANAGEMENT STUDIES (RIMS),
ROURKELA

SUBMITTED TO
BIJU PATTNAIK UNIVERSITY OF TECHNOLOGY

Rourkela Institute of Management Studies, Rourkela


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DECLARATION

I, Jyoti Prakash Barik student of MBA bearing Registration


no. 0806260005 from RIMS, ROURKELA hereby declare that this project
titled “ Technical Analysis of Equity Shares, With special reference to
growth shares.” Submitted by me to the ROURKELA INSTITUTE OF
MANAGEMENT STUDIES, ROURKELA for the partial fulfillment of the
degree of Master of Business Administration is an original piece of work
done by me and it is not submitted to any other University or Institution for
the award of any degree.

I understand that detection of any such copying is liable to be punished in


any way the school deems fit.

JYOTI PRAKASH BARIK


RIMS, Rourkela.

Rourkela Institute of Management Studies, Rourkela


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ACKNOWLEDGEMENT

I am thankful to BHUBANESWAR STOCK EXCHANGE LTD for


giving me an opportunity to conduct research work under them, required for
my project.I am honored to take this opportunity to sincerely thanks.Sri
Bibhu Prasad Chotrai , who allowed me to work under such an esteemed
organization.
His timely advice was a constant source of inspiration throughout the tenure
of this project.

I also thanks all the members of BHUBANESWAR STOCK


EXCHANGE LTD, Bhubaneswar, for providing me the necessary
information and relevant datas. Last but not the least I thanks all the
respondents whose responses played a major role in completion of this
research work.

Jyoti Prakash Barik


RIMS, Rourkela.

Rourkela Institute of Management Studies, Rourkela


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GUIDE CERTIFICATE

This is to certify the Summer Training Project entitled “TECHNICAL


ANALYSIS OF EQUITY SHARES WITH SPECIAL REFERENCE TO
GROWTH SHARES” has been carried out by JYOTI PRAKASH BARIK under
my supervision and guidance. The Summer Training embodies the results of his
own contribution. This has not been submitted elsewhere for the award of my
degree.

Prof Anam Charan


Raul
Faculty of RIMS

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CONTENTS TOPICS

Chapter-I Introduction

Chapter-ii Organizational Profile

Chapter-iii Analysis and Interpretation

Chapter-iv Conclusion
References

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CHAPTER-I

INTRODUCTION

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1.1 PERSPECTIVE:

Investment means many things to many persons. If more persons has


advanced some money to another, it may be loan, which may be considering
which investment for a return. If a person has purchased consumer durable
like washing machine for the flow of service, it is his investment.

For the investor, it is the exchange of money or cash for a future claim on
money or the purchase of security of a promise to pay at a later date a long
with a regular income as in the case of shares, bonds and debentures etc. For
the issuer or the security it is the use of money for fixed capital equipments,
working capital or any other productive and unproductive activity.

Characteristics of Investment:

1. RISK:

(a) The longer maturity period, the longer is the risk. Thus deposit of two
years carry higher rate than one-year deposit.

(b) The more the credit worth ness of the borrower or agency issuing
securities, the less is the risk.

(c) The nature of instrument, namely, the debt investment or fixed


deposit or ownership instrument like equity or preference shares, also
determine risk.

2. RETURN:

A major influencing the pattern of investment is its return, which is the


income plus capital appreciation.

3. SAFETY:

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The safety of capital is the certainty of return on capital without loss of
money or time involved.

4. LIQUIDITY:

If an asset is easily realizable, saleable or marketable, then it is said to be


liquid.

1.2 WHAT IS STOCK EXCHANGE?

“Stock Exchange means anybody or individuals whether incorporated or


not, constituted for the purpose of assisting, regulating or controlling the
business of buying , selling or dealing in securities.” It is an association
of member brokers for the purpose of self-regulation and protecting the
interest of its members.

It can operate only if it is recognize by the Government under the


securities contracts (regulation) Act, 1956. The recognition is granted
under section 3 of the Act by the Central Government, Minister of
Finance.

The powers of the Central Government under the Act are far-reaching
and including the following in particulars:

1. Grand end withdrawal of recognition, approval or change of


byelaws.
2. Call of periodical returns for the Stock Exchange.
3. Direct enquiries on the members or on the Stock Exchange.
4. Liability of the exchange to submit annual reports.
5. Directing the stock Exchange to make certain rules.
6. Supersede the Governing Board of the Exchange.
7. Impose any other conditions or regulations for trading.
8. Suspend the Governing Board of the Exchange.
BYELAWS:

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Besides the above Act, the securities contracts(Regulation) Rules were also
made in 1957 to regulate certain matters relating to trading on the Stock
Exchanges. There are also byelaws of the Exchanges, which are concerned
with the following subjects.

Opening/Closing of the stock exchanges , administration timing of trading ,


regulation of blank transfers, regulation of badla or carryover business,
control of the settlement and other activities of the Stock Exchange, fixation
of margins, fixation of market prices or making up prices (Havala rates),
regulation of travani business (jobbing, etc. regulation of brokers’ trading ,
brokerage charge, trading rules on the exchange, arbitration and settlement
of disputes, settlement and clearing of the trading etc.

1.3 GUIDELINES TO INVESTORS:

a. Deal with a registered member of stock exchange. If you are dealing


with a sub-broker, make sure that all bills and contracts are made in
the name of a registered broker.
b. Insist that all your deals are done in the trading ring, or electronically
recorded.
c. Give specific orders to buy or sell within the fixed price limits and/or
time periods within which orders are executed.
d. Insist on contracts notes to be passed on to be passed on to you on the
dates, when the orders are executed.
e. Make sure that your deal is registered with the stock exchange in a
souda Block Book or electronically. In the case of a dispute, this will
help trace the details of the deal easily.
f. Collect a settlement table from the stock exchange mentioning the
pay-in and pay-out days. Each stock exchanges has its own trading
periods, which are called settlements. All transactions done within
this period are settled at the end of it. All payments for shares bought
and their delivers takes place on the pay-in day. An awareness of pay-
in and pay-out days is useful when a broker tries to make excuses.
g. Keep separate record of dealings in specified shares (GroupA) and no
specified shares (Group B1, and B2). The settlement for each is on
different days.
h. Executive periodic settlements of dues and delivery of shares to avoid
accumulation of transactions.
i. Insist on delivery. If the company returns your papers and shares with
objections , contract your broker immediately.

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j. Ensure that shares bought are transferred in your name before the
company’s book closure date. This is necessary to make sure that you
receive benefits like dividend, interest and bonus shares. All
companies have a book closure date on which the list of shareholders
in the company is finalized.
k. Complain if the broker does not deliver the shares bought in your
name. Proceed to contact another broker with the bill/contract given
to you by the earlier broker and the exchange authorities and the latter
will purchase the shares on your behalf. In such an event, the first
broker will have to pay the difference in price.
l. Do not shell/deal in shares where any one of the holders has dies, a
succession certificate is necessary. In cases where on of the joint
shareholders passes away, the surviving holder should send the shares
along with the death certificate to the company. Only after the name
of the deceased has been deleted from the shares, can they be
transferred.
m. Do not except the money for shares to come immediately. It will take
at least a fortnight at present from the date of transaction.
n. Unless you have a special arrangement with the broker, do not except
the adjustment of purchases and sales against one another, one pays
first and receives later.
o. Do not take delays or harassment laying down. You have no complain
to the Grievance Cell of the stock exchanges or the Securities and
Exchanges Board of India (SEBI) in case of delays or harassment.

1.4 WHAT IS GROWTH SHARES?

The growth companies are also called the blue chip companies. The blue
chips of yester years are not necessarily the blue chip of today. The investor
has to review and assess the companies from time to time to locate the blue
chips , based on fundamental analysis.

In order to enable one to identify these blue chips of tomorrow, lone should
know the nature and characteristics of these companies. A few guidelines in
this regard are set out below.

Firstly, the management should be experienced and efficient ; they should


have the honestly , integrity and vision for expansion and growth.

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Secondly, the market shares of the company should be substantial and at
least more than one third. The large the share, the better the prospects of
controlling the market and profit margins and expanding the operations.

Thirdly, the company must be well diversified into areas of growth


potential. The growth potential changes from time to time. At present,
industries with a growth potential are cement, paper, petrochemical, etc.

Fourthly, the company’s expansion should be consistent has a long-term


perspective.

Fifthly, the company should have a consistent and stable distribution policy
with good profit margins.

Sixthly, such a company services the investors well with bonus or rights
issue or convertible debentures, from time to time in addition tool increasing
dividend margins are growing and the company is gaining in financial
strength.

Lastly, the industry or industries in which the company operating should


have good growth prospects.

The time of purchase should be decided on the basis of technical analysis


referred to later.

1.5 WHAT IS TECHNICAL ANALYSIS?

While fundamental and security evaluation explain why share prices


fluctuates, how they are determined and what to buy or sell, the technical
analysis will help the decision when to buy or sell. Technical analysis of the
market is based on some basis tents, namely, that all fundamental factors are
discounted by the market and are reflected in prices. Secondly, these prices
move in trends or waves, which can be both upward or downward
depending on the sentiment, psychology and emotions of traders. Thirdly,
the present trends are influenced by the past trends, and the projection of
future trends is possible by an analysis of past price trends. Analysis of
historical trends confirmed above principles and the Random Walk Theory
explaining the randomness of price chances has been found to be not
applicably by the technical analysis in practice.

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COMPANIES UNDER CONSIDERATION IN THE STUDY:

SL.NO Companies Industry


1 STATE BANK OF INDIA Banking
2 TATA CONSULTANCY Software
3 BHARAT HEAVY ELECTRICALS Power generation &
distribution
4 STEEL AUTHORITY OF INDIA Ltd Iron & Steel
5 CIPLA Pharmaceuticals
6 MAHINDRA & MAHINDRA Automobiles
7 GAS AUTHORITY OF INDIA Ltd Gas Transmission
8 BHARTI AIRTEL Tele Communication
9 NATIONAL ALUMINIUM CO. Aluminum product
(NALCO) manufacturing.

1.6 RESEARCH METHODOLOGY

Objective of the study.

1. Projection of future trends by an analysis of past price trends of


share of certain companies.
2. Enabling an investor to take a decision as to when to buy or sell
a shsre.

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Time Period:

The study takes in consideration the prices of shares for the


financial period 20072008.

Companies under Consideration:

The takes a sample of [SBI, TATA CONSULTANCY. BHEL,


SAIL, CIPLA, MAHIDRA&MAHINDRA, GAIL, BHARATI
AIRTEL, NALCO] 9 Companies.

TOOL OF TECHNICAL ANALYSIS:

1.Daily fluctions or volatility

Statistical tool used:

Chain index No. of method and trends analysis Average.


Data Source:

The data is collected for the study by an extensive literature survey


and share prices supply by the Bhubaneswar Stock Exchange.

LIMITATIONS OF THE STUDY:

1. The study has the inherent limitation of the published data used.

2. Due to shortage of time, the time period for the study was limited to 1
year only.

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CHAPTER PLAN:

1. The first chapter consists of the introduction and research


methodology.

2. The organization profile is presented in the second chapter.

3. The data collected and analyses could interpret in the third chapter.

4. The fourth chapter gives the finding of the study and attempt to make
certain helpful suggestion.

5. The conclusion is presented in the title chapter.

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CHAPTER-II

ORGANIZATIONAL
PROFILE.

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OVERALL VIEW OF STOCK EXCHANGE:

Indian capital market has witnessed unparallel growth since 1980 as a


vibrant segment of the financial system; the capital market plays a
crucial role in promoting the rate of growth of economy. It serves as a
conduit between those sectors which generate surplus financial resources
and other which require additional funds for investment. The stock
exchange is the nerve center of the capital market. It reflects the hopes,
aspirations and rays of future of the market. It reflects the hopes,
aspirations and rays of future of the people of their outlook of the
economy.

The industrial devil today needs huge capital funds. The stocks exchange
helps to channel the saving of the country into productive channels.

It assists in finding new capital for the Govt. financial institutions, and to
the industrial through raising the loans by bounds, shares and securities.
Stock Exchange enables entrepreneurs to raise large funds and start
industries. Exchange enables entrepreneurs help in giving employment to
the prosperity of the country by increasing industrialization.

The work is done by Stock brokers who are the members of the Stock
Exchange by Procuring subscriptions from the public through share
issues, bounds, securities made by the Govt. financial institutions and as
well as corporate sector.

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Thus the 1st function of procuring subscription for new issues of
securities of Government or bounds of financial institutions and shares of
companies is referred as primary market functions.

The second function of stock exchange is to provide a market place for


trading in existing share bounds securities of government financial
institutions and joint stock companies. It helps the existing investors to
convert their holdings back into cash and also makes to possible for
others to acquire existing securities through the stock exchange; this is
referred as secondary market functions.

This work is also done by stockbrokers who bought and sold on behalf of
their clients. The characteristics of this market is that there is a perfect
competition of buying and selling. The prices are which the shares and
securities change bounds are not fixed by Stock Exchange but fluctuate
every seconds according to the demand and supply which depend on
many factors such as extent of trading, proposed divided, Bonus , right
prospectus of a particular industry, govt. policies, management of the
company and general economic environment.

By thus stock exchange ensure free marketability, liquidity, negotiability


and price continuity of shares and securities.

In this way stock exchange first initially promotes cap[ital formation on


one hand and late on enable transfer of ownership of shares and
securities from one person to another and when required at the current
prices.

Another important role played by the Stock Exchange, generally not


realized, is in gilt-edged securities that are securities by the central and
state government, municipalities, improvement trust; port trusts various
other public bodies. All these securities, worth about Rs. 10,000 crores at
present, are in fact automatically listed on the Stock Exchange as soon as
they as they are issued. Transaction in all these securities takes place
continuously on the Stock Exchange. Even in respect of the open market
operations conducted directly by the Reserve Bank of India, in respect of
central government securities, the transactions are put through members
of stock exchange who are on their approved list. The stock exchange
thus plays a pivotal role in the orderly marketing and continuous
valuation of these securities.

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Except to the above stock exchange provide requisite advice and
guidance to the companies for seeking more capital. It educates the
investing public for the safe investment of their hard earned money by
training courses, seminars and by magazines.

It was laid down rules and regulations which members as well as


companies have to abide by, which serve as a protection to Investors.

The trend of business activities of the stock exchange serves as a


significant indication of the overall economic situation of the economy
or you can say chare market is the whether clock of the economy of the
country.

The 12th plan required moping up of vast savings of the community and
bringing them into productions use. The emphasis is on the tapping of
the country’s resources not only from urban centers but also from semi-
urban and rural areas. There is a great need to exert our skills to pool the
muddy resources for garnering them into productivity channels.

In respect of public issues of shares which one to be listed on stock


exchanges, the stock exchanges, have to approve.

(i) The memorandum and article of association suggesting the various


amendments to be made them in, so as to comply with the rules.
Bye-laws and regulations of stock exchanges.
(ii) The draft prospectus.
(iii) In the even of the issue being over subscribed the basis of
allotment has to be decided in consultation with the regional stock
exchange.

Listed have to comply with the various clauses with the listing
agreement that has to be entered into with the exchange. The listing
agreement that has to be entered into with the exchange. The listing
agreement contains 42 classes dealing with information’s of vital
concern to the investing public which should be passed on to the stock
exchange, such as unaudited, half yearly financial results, bonus
dividend, changes in directors, take over, amalgamation, merger etc.

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Securities and Exchange Board of India similar to the securities
exchange commission of USA and United Kingdom has been formed in
India with a view to improve and strengthen the capital market through
various measures.

THE ROLE OF STOCK EXCHANGE IN SECONDARY MARKET


REFORM:

Now in recent the Stock Exchange is trying to improve their role in


secondary market reform. The stock exchange gives more stress on
market secondary market reform.

A no of measures were taken to improve infrastructure, transparency,


efficiency, and thus enhance investor confidence. Risk management was
further strengthened during the year by implementing comprehensive
margins, exposure limits and by improving the efficiency of clearing and
settlement systems. With a view to enhancing market safety, the
exchanges fixed intra-day trading and grow exposure limits for brokers.
Were housing facilities that enable execution of a large firm client order
in parts during the some trading cycle, was introduced. SEBI permitted
brokers to ware housed traders for firm order of institution clients. To
prevent misuse, certain safe guards like reporting requirements,
compulsory delivery of warehouse traders were introduced.

All institutions investors having a portfolio worth more than Rs.10 crores
were required to compulsorily trading and settle 8 scrips through the
demat route effective 15th January 1998. The 8 scrips were Bank of India,
L&T and Tisco. The advantages of various problems associated with
papers based or physical settlement.

In over all basis, the role of Stock Exchange can be:

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 Assist in finding new capital for the Government, financial
institutions and to industries through raising the loans by bounds,
shares etc.
 Ensure free marketability, liquidity and negotiable and price
continuity in instruments.
 Ensure proper supervision, order and control of dealings.
 Protects interests of stockholders and of the general investing Public.
 Provide avenues to public to use their savings more productively, less
wastefully and make significant appreciation/gains in capital.

Although our Stock Exchange in the country is well equipped with


expertise yet it is true again that they are required to gear up their
activities looking into the present and future requirements, tapping and
serving of huge capital resources require expeditions switch over to
modernization. Updating the system and procedures are especially for
unification and informality. They bye-laws regulations and rules should
be streamlined and made simple and easier.

Computerization is working system gives better results facilities fasts


and more accurate information. Well-informed markets, management
and investors defining facilitate fair play of action right perspective.
Communication system at all the levels is the main bone of competitive
and healthy market operations.

Corporate sector has to play on equally important role. They must not
only run efficiently but at the same time keep timely well informed their
share holders investing public, and stock exchanges their prosperity their
product, turn over net profit even about the growing competition.

Stock Exchange are regulated by SEBI and ministry of finance and their
working is controlled by Board of Directors which are elected as well as
nominated by Govt. and SEBI. We are confined that the Stock Exchange
will meet the challenges efficiently and take necessary steps to promote
investment climate in country and protect the invest of investors and take
action against the persons defaulting its laws.

The development of the capital market received a tremendous boost with


the increasing number of stock exchanges opened in the country. Before

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1982 there are only 9 stock exchanges in the country. Today there are 23
stock exchanges. We hope that stock exchanges, financial institutions
and stock brokers will all make their best efforts to achieve the largest
and moping up the capital in the country very soon.

2.1 ABOUT BHUBANESWAR STOCK EXCHANGE LTD.

Out of 23 Stock Exchanges in India, 20 Stock Exchanges are presently in


operation under recognition granted by Securities and Exchange Board of
India (SEBI) in terms of provisions of Securities Contracts (Regulations)
Act (SCAR), 1956. Bhubaneswar Stock Exchange Ltd. (BhSE) is one those
20 recognized Stock Exchanges in the country.

BhSE was established under the Companies Act, 1956 during the year 1989
as a Company , limited by guarantee without having share capital with an
objective to perform a stock exchange to facilitate, assist , regulate and
control the business of buying and selling in stocks, shares and like
securities in the interest of investing public in the state of Orissa within the
meaning of SCAR. Recognition to function as a stock exchange in terms of
SCAR was granted to BhSE then by the Ministry of Finance, Govt. of India
initially for a period of five years. Thereafter, the said recognition is being
renewed by Securities and Exchange Board of India(SEBI) from time to
time.

The trading operation in the BhSE was commenced w.e.f.2nd January.1991


with the participation of around 150 stock-brokers of BhSE is presently
around 200. The number of listed companies which was listed during the
initial stage of operation of BhSE, was increased substantially over a period
of time. However, upon introduction of liberalization policy (SEBI
Delisting Guidelines,2003), there was no increase in the number of listed
companies in BhSE.The shares and securities of the listed stocks of BhSE
are traded by the number –brokers of BhSE. Major listed stocks of Bombay
Stock Exchange(BSE) and National Stock Exchange(NSE) are also allowed
by the BhSE and National Stock Exchange(NSE) are allowed by the BhSE
for trading under permitted category.

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Subsequently, pursuant to amendment to SCRA by the Govt. of India to
provide for corporatisation and demutualization of the Stock Exchanges in
India with a view to segregate ownership , trading rights and management
from each other in a recognized Stock Exchange ,BhSE under a scheme of

corporatisation and Demutualization approved by SEBI,was registered


afresh as a Company having share capital under the Companies Act.1956
during the year 2005 and became a corporate entity, Subsequently BhSE
successfully diluted its share capital during the year 2007 to ensure the
requirement of holding at least 51% of the total paid up share capital by the
public other than the trading member-brokers for the purpose of getting a
demutualised Stock Exchange.

The affairs and business of the BhSE are managed under a Memorandum &
Article of Association and Rules, Bye-laws and Regulations made there
under the control and supervision of its Board of Directors. The strength of
Board of Directors of BhSE is 8 including the Chief Executive Officer of
BhSE. The details of other 7 Directors of the Board of BhSE are-

. 2(Two) Public Interest Directors who are appointed out of a SEBI


constituted panel by the shareholders of the BhSE in the general body
meeting;

. 3(Three) Public Shareholders Directors who are appointed by the


shareholders of the BhSE in the general body meeting;

. 2(Two) Trading Member Directors who are appointed by the


shareholders of the BhSE in the general body meeting; and

The Board of Directors is headed by a Chairman who is appointed by the


Board from amongst the Public Interest Directors and Public Shareholder
Directors only.
The day to day affairs of the BhSE are managed by the Chief Executive
Officer with the support of 3 managers, 4 Asst Managers, 4 Sr Executives
and other supporting staff at present.

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CHAPTER-III

ANALYSIS AND
INTERPRETATION.

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The analysis is done after the following steps have been adopted:-

(i) The average of daily share prices of each month is calculated. The
average price represents the share price of the month concerned.
(ii) The changes in the share prices is studied from these average
price.

STATE BANK OF INDIA

YEAR(07- AVERAGE PRICE OF


08)MONTH SHARES PERCENTAGE
APRIL 1019.25 100
MAY 1230.8 120.75
JUNE 1381.28 135.51
JULY 1548.74 151.94
AUGUST 1552.64 152.33
SEPTEMBER 807.95 79.26
OCTOBER 1873.73 183.83
NOVEMBER 2222.77 218.07
DECEMBER 2355.21 231.07
JANUARY 2345.55 230.12
FEBRUARY 2272.5 222.95
MARCH 1843.42 180.86

ANALYSIS OF STATE BANK OF INDIA: Movement of average share


price,

i. The figure of stock in financial year 2007-08 starting point month


of April to August the average price of shares shown an increasing
trend. April to August there is a rapid increase in share prices.
ii. In the month of September the share price is minimum.

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iii. In the month of October there is a sudden rise in the share price.
It continues rising till December , then starts gradually falling at a
lower rate. It still remains more than the earlier months.
iv. Highest price in the month of December and lowest price in the
month of September.

S T A T E B A N K O F IN D IA

2500

2000

1500
A V E R A G E P R IC E O F S H A R

1000 PER C EN T A G E

500

0
APRIL

MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER

NOVEMBER
DECEMBER
JANUARY
FEBRUARY
MARCH

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BHARAT HEAVY ELECTRICALS

YEAR(07- AVERAGE PRICE OF


08)MONTH SHARES PERCENTAGE
APRIL 1292.94 100
MAY 1303.81 100.84
JUNE 1235.76 95.57
JULY 1210.09 93.59
AUGUST 1127.99 94.97
SEPTEMBER 1089.93 84.29
OCTOBER 1125.53 87.05
NOVEMBER 1030.44 79.65
DECEMBER 1110.23 85.86
JANUARY 973.57 75.29
FEBRUARY 939.57 72.68
MARCH 883.92 68.36

ANALYSIS OF BHARAT HEAVY ELECTRICALS: Movement of


average share price,

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i. The average share price of BHEL is in a constant position in the
month of APRIL to AUGUST. There is no rapid increase or
decrease in the share price.
ii. In the month of September the share price decreased to 84.05%
and then it remains at constant.
iii. The average price goes on decreasing and it become lowest in the
month of March to 68.36%.
iv. The higher price in the month of May and lower in the month of
March.

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B H AR AT H EAVY P E R C EN TAGE

1400
1200
1000 A V E R A G E P R IC E O F
800 SHARE S
600 P E R C E N TA G E
400
200
0
APRIL
MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
JANUARY
FEBRUARY
MARCH

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STEEL AUTHORITY (SAIL)

YEAR(07- AVERAGE PRICE


08)MONTH OF SHARES PERCENTAGE
APRIL 131.05 100
MAY 146.71 111.94
JUNE 139.62 106.53
JULY 153.05 116.78
AUGUST 155.52 118.67
SEPTEMBER 172.05 131.28
OCTOBER 243.05 185.46
NOVEMBER 160.22 122.25
DECEMBER 289.39 220.82
JANUARY 251.29 191.75
FEBRUARY 235.87 179.98
MARCH 220.96 168.61

ANALYSIS OF SAIL: Movement of average share price,

i. The share price of SAIL depict a bullish trend. There is consistent


increase in the share price.
ii. The maximum point achieved in the month of December is
220.82%.
iii. The average price of shares show a gradual decrease from January
to February.
iv. Higher price in the month of December and lower price in the
month of April.

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S T E E L A U T H O R IT Y (S A IL )

350
300
250 A V E R A G E P R IC E O F
200 S HAR E S
150 P E R C E NT AG E
100
50
0
APRIL
MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
JANUARY
FEBRUARY
MARCH

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CIPLA

YEAR(07- AVERAGE PRICE


08)MONTH OF SHARES PERCENTAGE
APRIL 197.15 100
MAY 221.05 112.12
JUNE 220.58 111.88
JULY 223.58 113.41
AUGUST 188.3 95.51
SEPTEMBER 184.83 93.75
OCTOBER 198.06 100.46
NOVEMBER 189.65 96.19
DECEMBER 215.64 109.37
JANUARY 208.57 105.79
FEBRUARY 186.72 94.71
MARCH 218.18 110.66

ANALYSIS OF CIPLA: Movements of average share price,


i. The average price of shares increase rapidly in the month of May
than the month of April.
ii. The share price remains constant from May to July.
iii. The share price goes on fluctuating from August to November.
iv. The next two months the rate remains constant.
v. In February the month of February there is a sudden increase in
the next month.
vi. Higher share price in the month of July and lower price in the
month of September.

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CIPLA

250
200 AVERAGE PRICE OF
150 SHARES
100 PERCENTAGE
50
SEPTEMBER

NOVEMBER
DECEMBER

FEBRUARY
OCTOBER

JANUARY
AUGUST

0
MARCH
APRIL

JUNE
JULY
MAY

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MAHINDRA & MAHINDRA

AVERAGE
YEAR(07- PRICE OF
08)MONTH SHARES PERCENTAGE
APRIL 778.89 100
MAY 782.22 100.43
JUNE 758.49 97.38
JULY 823.2 105.69
AUGUST 696.7 89.45
SEPTEMBER 767.41 98.52
OCTOBER 809.84 103.97
NOVEMBER 765.03 98.22
DECEMBER 838.25 107.62
JANUARY 776.43 99.68
FEBRUARY 586.63 75.32
MARCH 713.26 91.57

ANALYSIS OF MAHINDRA & MAHINDRA: Movement of average share


price,
i. The share price is in a fluctuating stage through out the tear.
ii. In the month of December the share price touches its maximum
i.e.1007.62%.
iii. In the month of February the share price goes to the lowest
i.e.75.32%.

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M AH IN D R A & M AH IN D R A

900
800
700 AVE R AG E P R IC E O F
600
500 S HAR E S
400 P E R C E NT AG E
300
200
100
0
APRIL
MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
JANUARY
FEBRUARY
MARCH

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GAS AUTHORITY OF INDIA LTD.(GAIL)

YEAR(07- AVERAGE PRICE


08)MONTH OF SHARES PERCENTAGE
APRIL 302.21 100
MAY 307.89 101.87
JUNE 317.78 105.15
JULY 339.65 112.39
AUGUST 327.15 108.25
SEPTEMBER 350.93 116.12
OCTOBER 399.66 132.24
NOVEMBER 452.56 149.75
DECEMBER 530.04 175.38
JANUARY 499.82 165.38
FEBRUARY 436.36 144.39
MARCH 438.83 145.21

ANALYSIS OF GAIL: Movement of average share prices,


i. The share prices of GAIL depict an increase. There is an
increasing rate of shares in each month throughout the year.
ii. The maximum point achieved in the month of December with
175.38%.
iii. In January the share price decreased by 10% and in the next two
month the price remains constant.
iv. Higher price in the month of December and lower price in the
month of April.

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G A S A U T H O R IT Y O F IN D IA L T D .(G A S )

600
500
400 AVE R AG E P R IC E O F
S HAR E S
300
P E R C E NT AG E
200
100
0
APRIL
MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
JANUARY
FEBRUARY
MARCH

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BHARATI AIRTEL

AVERAGE
YEAR(07- PRICE OF
08)MONTH SHARES PERCENTAGE
APRIL 840.35 100
MAY 876.71 104.32
JUNE 865.44 102.98
JULY 930.96 110.78
AUGUST 897.81 106.83
SEPTEMBER 925.84 110.17
OCTOBER 1066.66 126.93
NOVEMBER 945.34 112.49
DECEMBER 1009.45 120.12
JANUARY 943.01 112.21
FEBRUARY 914.85 108.86
MARCH 835.23 99.39

ANALYSIS OF BHARTI AIRTEL: Movement of average share prices,


i. The price of shares are in a constant position from the month of
April to September.
ii. In the month of October there is a sudden increase in the prices of
shares than September.
iii. The next five months show a decreasing trend.
iv. Higher price in the month of October and lower price in the month
of March.

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B HARTI AIRTEL

1200
1000
800
Series1
600
400 Series2
200
0
APRIL

MAY

JUNE

JULY

AUGUST

SEPTEMBER

OCTOBER

NOVEMBER

DECEMBER

JANUARY

FEBRUARY

MARCH

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NATIONAL ALUMINIUM CO.(NALCO)

AVERAGE
YEAR(07- PRICE OF
08)MONTH SHARES PERCENTAGE
APRIL 252.39 100
MAY 263.34 104.34
JUNE 272.09 107.81
JULY 291.91 115.66
AUGUST 269.29 106.69
SEPTEMBER 290.15 114.96
OCTOBER 316.79 125.51
NOVEMBER 378.39 149.92
DECEMBER 446.45 176.89
JANUARY 476.91 188.96
FEBRUARY 420.69 166.68
MARCH 489.85 194.08

ANALYSIS OF NALCO: Movement of average share price,


i. In NALCO the share price show a bullish trend. There is constant
increase in share prices.
ii. In March the share price touches its maximum i.e.194.08%.
iii. The share price remains more than the base price each year.
iv. Higher price in the month of March and lower in the month of
April.

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N ATION AL AL U MIN IU M C O.(N AL C O)

600
500
A V E RA GE P RICE OF
400
S HA RE S
300
200 P E RCE NTA GE
100
0
APRIL

MAY
JUNE

JULY

AUGUST

SEPTEMBER
OCTOBER

NOVEMBER

DECEMBER

JANUARY
FEBRUARY

MARCH

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CHAPTER-IV

CONCLUSION

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THE FOLLOWING POINTS CAN BE CONCLUSION FOR THE
STUDY:

1.The stock market is an important field of investment.


2.The volatility of the share market sometimes discourage investors and
potential investors.
3.No two investors are ever the same and one passion attitude to risk may be
very different from another.
4.A person with less number of dependents as no dependents can afford to
go for a higher degree of risk for the ultimate benefits that may acquire from
our savings and investment programs.
5.On the other hand, a person much older in age or with a number of
dependents should adept a more cautions approach.
6.Investors in the stock market always prefer cautions portfolio to be on the
later side.
7.When one thinks of playing safe, he adopts the technique of technical
analysis of the share market.
8.It is through technical analysis that an investor can reach a distinct and
clear decision about investments in the share market.
9.However, technical analysis should not be the only tool on which an
investor or potential should depend upon.
10.Technical analysis will give a more accurate idea to an investor if
complemented with the fundamental fund of the share market.

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REFERENCE

BOOK
1. INVESTMENT MANAGEMENT, V.A.ADVANI, HPH
2. STATISTIC FOR MANAGEMENT,JEVEN&RUBIN,PHI

NEWSPAPER

1.THE TIMES OF INDIA


2.THE HINDU
3.BUSINESS STANDARD
4.FINACIAL EXPRESS

INTERNET ACCESS

1.WWW.REDIFF,COM
2.WWW.NSEINDIA.COM
3.WWW.ECONOMICTIMES.COM
4WWW.CNBC.COM

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