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Training Topics

01. Types of Markets


02. Trading versus Investment
03. Types of Traders
04. Types of Trades
05. Technical versus Fundamental Analysis
06. Types of Charts.
07. Candle Stick Basics
08. Trend Analysis - Basics
09. Chart Reading Exercises.

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10. Market Jargons
11. Types of Trends
12. Trend Analysis Advanced
13. Drawing Trend Lines
14. Trend Channels
15. Multi time frame Analysis
16. Support & Resistances
17. Pivot Study
18. Price Action Trading
19. Risk Management
20. Risk Reward Ratio
21. Moving Average
22. Supply & Demand
23. Buying & Selling Signal .
24. Trend Reversal Technique
25. Dow Theory
26. Average Directional Movement
27. Bollinger Bands
28. Relative Strength Index
29. 200DMA
30. Option Chain & Open Interest
31. Technical Analysis
32. Trading the News, Results, Inventory & Economic data Release
33. Fundamental Analysis
34. Option Strategies.
35. Investment Management.
FAQs
1.  Explain Fundamental analysis and Technical analysis.
Security analysis includes two types of analysis namely, fundamental analysis and technical analysis.

Fundamental analysis takes into account three types of analysis:

- Economy analysis
- Industry analysis
- Company analysis

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Technical analysis helps in forecasting the future price of share on basis of historical movements of price.

2.  What are the important macroeconomic indicators that influence stock market?
What are the important macroeconomic indicators that influence stock market?
Following are the macroeconomic indicators that influence stock market:

- GDP Growth Rate


- Behavior of monsoon and performance of agriculture
- Trends in public investment and savings
- Monetary and fiscal policy
- Economic and political stability
- Inflation
- Infrastructural facilities and arrangements

3.  Secret Of Demand Supply


In every Business, there is a concept that buys at a low price or wholesale price and sells at a higher price or
retail price. Same way whether we are going to purchase some stock or a commodity we must know about the
stock fair valuation and future business. If every fundamental goes very well on the particular stock or
commodity we must say at a cheaper price we can buy for the long term. Oppositely also true expensive stock
or commodity can give stable return like gold, silver because there fundamental is very much strong. So as
Fundamental analysts we can judge the good or bad things about the news conclude about the sentiment. But
can not decide where to buy or where to sell in the market. In this particular area, we can take advantage of the
technical chart. we can really find the area where institutional buying and selling happens. See the most
amazing example of demand. Where we can see with low risk the professionals are re-entering in the market
where the professionals traded once before. Thus, The market is very much simple if you know the thing then
the rest will be easy.
4.  What Is The Definition Of Technical Analysis?
The study of financial market behavior is known as technical analysis. The technician examines price changes
that occur on a daily, weekly, or monthly basis, as well as any other period indicated in the chart.
Charts are a type of visual representation. As a result, the term chart analysis was coined.
A chartist just looks at price charts, but a technical analyst looks at technical indications generated from price
charts.
in addition to the pricing charts, from price changes
Instead of looking at the fundamental factors that (appear to) influence market prices, technical analysts look at
how the financial markets behave. Technicians think that even if all of a company's essential data is collected,
There are so many elements interacting at any one time that it's easy to overlook essential ones in favor of the

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"flavor of the day."
All critical market information is represented (or disregarded) in the technical analyst's opinion.
Except for startling news such as natural disasters or acts of God, the price is the price. These elements,
whether in stocks, commodities, currencies, or bonds, charts are self-similar. They exhibit the same fractal
structure (a fractal is a little pattern; self-similar implies the overall pattern is made up of smaller versions of
the same pattern). A chart is similar to a mirror.
Not the primary causes, but the crowd's attitude. As a result, technical analysis is the way to go. It is a study of
mass psychology in humans.

5.  What is Mutual Fund? State types of mutual funds schemes.


Mutual Fund is an association which pools the savings of the investors who share common financial goals. The
money collected by number of investors is invested in different types of financial instruments for the mutual
benefit of its members. The income earned on these investments is then shared by the unit holders in
proportion to the number of units held by them. A mutual fund has sponsor, trustees, asset Management
Company and custodian. Mutual funds schemes are classified on the following basis:

- Maturity Period – Open ended and closed ended schemes.


- Investment Objective – Growth scheme, Income scheme, and balanced scheme.
- Other schemes – Liquid fund, Gilt fund Index fund, Sector fund and Tax saving fund.

6.  What are the different types of Equity Market?


Equity market consists of primary market and secondary market.

Primary equity market – is also called new issues market as securities are issued to public for the very first
time. In this market the new issues are made in following four ways:

- Public issue
- Rights issue
- Private placements
- Preferential allotment

Secondary equity market – also known as Stock exchanges which are an important part of capital market. It is
an organized market place where securities are traded. These securities are issued by government, semi-
government bodies, public sector undertakings, joint stock companies etc.

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7.  What is the difference between Bombay Stock Exchange and National Stock Exchange?
- Bombay Stock Exchange index or Sensex was started in 1986 whereas National Stock Exchange index
namely Nifty started in 1995.
- The base year for the Sensex is 1978-79 and base value is 100 whereas the base year for nifty is 1994 and
base value is 1000.
- BSE consists of 30 scrips whereas NSE consists of 50 scrips.
- BSE is screen based trading whereas NSE is ringless, national, computerized exchange.
- BSE has adopted both quote driven system and order driven system whereas NSE has opted for an order
driven system.

8.  What do you understand by Stock market indices? Name the major stock market
indices.
Stock market indices are used to measure the general movement of the stock market. It is used as a proxy for
overall market movement. The major stock market indices are:

- Bombay Stock Exchange Sensitive Index (BSE) popularly known as Sensex. It reflects the movements of 30
sensitive shares from specified and non specified groups.

- S and P CNX nifty, known as Nifty Index. It reflects the movements of 50 scrips selected on the basis of
market capitalization and liquidity.

9.  What do you mean by Derivatives? Give an example.


The word derivative refers to a variable which has been derived from another variable. Thus derivatives have
no value of their own as they derive their value from the value of some other assets which is known as
underlying asset. They are specialized contracts which signify an agreement to buy or sell the underlying asset
of the derivate up to a certain time in the future at a predetermined price. The value of the contract depends on
the expiry period and also on the price of the underlying asset. For example – Derivative contract on crude oil
depends on the price of crude oil.
10.  Is the stock market a gamble?
Investing in Stocks Is Just Like Gambling. This reasoning causes many people to shy away from the stock
market. To understand why investing in stocks is inherently different from gambling, we need to review what
it means to buy stocks. A share of common stock is ownership in a companys

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