What are the stock markets? What is trading there? The stock markets are nothing but the sale of company ownership. What is the value here? |
Fundamental analysis of stock markets
What are the stock markets? What is trading there? The stock markets are nothing but the sale of company ownership. What is the value here? It all depends on how the company is evaluated. If you go to a grocery store you will buy fruits. How do you decide the value of the fruit? It all depends on your needs, as well as the relationship between supply and demand. If you get more fruit on the market and if there is less demand then the price will be lower. It's the same here in the stock markets as well. The higher the number of stock buyers in the company, the more the text price. Why will there be more buyers for a company in the stock market? It all depends on how buyers give ratings to the company. If they believe the company will get more value in the coming years, the current prince of the company is cheaper and want to buy.
The question remains pending, what is the value of the company? A company is more valuable if the company's net assets are higher. How do you evaluate the net assets of the company? Company assets mean everything the company owns, including land, buildings, and infrastructure even for smaller things like the pen that is also owned by the company. So the ratings of the company are based on the ratings of many other things the company has. The valuations of other things depend on the market in which these commodities are traded. Therefore, giving a basic value to the company needs to be determined, and giving assessments for each of the products that are traded in the market. How will the company's net assets increase? The company's net assets can be increased if the company makes profits. What is the way to take profits? It may be through dividends on the company’s equity capital, or it may be operating profit. Sometimes the value of the land owned by the company increases, and this is a capital gain. They only profit because they own this property. Fundamental analysis Forex
What about operating profit? Every company has its own set of clients and clients. If the company serves its customers or sells its products to many customers very well, the company will make more profits. This is an operating profit. This is of great value in calculating company ratings. Higher operating profits and greater opportunities for the company to add more net assets. How can you increase your operating profit? Also discussed was the operating profit of the company depending on how they serve their customers or how they sell their products to their customers. How does the company serve its customers? The company will serve its customers by its employees. How can it be improved? The way a company serves its customers depends on the business or business model of the company. How are these processes built? How is this business model created? It was created by the leaders of the company. Fundamental analysis PDF
Who are these leaders in the company? These are the people who are chosen to lead the company. There will be a CEO, CFO, Human Resources, and many more departments to support him. Who will choose the CEO? They are the directors of the company. Now the last question is who will the directors choose? It is chosen by the shareholders of the company. If the shareholders of the company are wise, they will choose better managers, and better managers will choose better leaders in the company such as CEO, CFO, etc. The CEO team will make better customer service decisions to sell their products to customers, resulting in better-operating profit. Better operating profit adds more to the company's net assets. The higher the net assets of the company means the more value of that company's script in the stock markets. The issue boils down to the fact that it is the people who own the company's shares who decide the value of the shares of that company in the future. It is the shareholders who decide the value of a stock in the stock market. Here is another thing to note. Everyone who has more shares in the company has more rights to make decisions in the company.
Now the most important is the patterns of equity ownership in the company. It is very important to look at the operator who owns the most in a company. The future of the company will be determined by these shareholders. What are the important characteristics that we should look for? One of the most important things is how confident we are. Trust is important everywhere. Also the person’s ability to perceive business, and the ability to choose the right people. Finally, fundamental analysis in the stock market needs a better analysis of the person with the most shares in the company. There will be more personality analysis, more about the amount of confidence it generates, and the number of wise decisions it makes for the company. What are the stock markets? The stock markets are decided by the shareholders of the company. The stock markets determine the fate of a company.
To collect everything shareholders -> Managers -> CEO and his team -> Customer service method and product sale -> Employees -> Operating profit -> Net asset gains -> Stock value in stock markets What is most important in determining a company’s price? They are the contributors themselves. The best shareholders, the best prospects for the company. If you think you are better, you deserve to have more in the company. Still, most of the time, what happens is that most of the time the values of each share deviate from their original price. So why did the fundamental analysis fail? To answer this question, we have to examine the new financial instruments that are trading in the stock markets these days. Stock markets these days mostly trade on technical charts instead of the basic value of the stock. Let's examine a few of those tools that artificially disturb stock value. Let me explore this briefly here. Technical analysis
Daily trade. Daily traders only trade daily. The basis of trading is either locking in profit or loss for the day only. Brokers usually give clients a large margin amount of up to 10 times the money they got for daily traders. How do traders trade today naturally? They only buy in dips. If they can't make a profit that day, they just convert to cash and wait for the day when they make the profit. If a person has cash holdings and if he wants to sell, he only sells them as a daily trade. If his day-to-day trading doesn't make him a profit, he will only turn into money. This is how it gives him profit
Buy Today Sell Tomorrow (BTST) BTST products are similar to daily trading but with the option to hold shares on margin for a few days to a week. Thus they can take advantage of volatility in the stock markets more efficiently. In these instruments, traders also obtain margin funds from brokers
Futures and options. Futures and options these days play a very important role in determining the value of equity markets. These are the tools used to hedge the stock market as possible. Using these tools, traders earn a lot of money either if the market converts words or passwords. This makes it an unexpected trade in the money market, which leads to the deviation of stock prices from their base prices.
Each share price movement depends on fundamental factors in addition to the factors mentioned here, these technical factors that make traders huge sums of money. How does the investor look at this? How do you decide the right share for investment? These days to make money in the stock markets, an investor must take positions in futures and options, even if he is a long-term investor.
I am a trader with a grip on technical analysis as well as fundamental analysis. During the past few years, I have discovered how stock markets play a very important role in the country's development. If the stock market is with the right people, the economy could be hit hard. Otherwise, everything goes to the point where the entire country is bankrupt.
Fundamental analysis PDF
Technical analysis
Fundamental analysis Forex
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