PriyaSahu

Blog by PriyaSahu

What is the moving average, and how do I apply it to stock trading?

By PriyaSahu - Comment(s)

       A moving average is a tool that shows the average price of a stock over a specific number of days. It helps smooth out price changes and shows the overall direction or trend of the stock. You can apply moving averages in stock trading to identify tren...

What is the moving average, and how does it help in technical analysis?

By PriyaSahu - Comment(s)

       A moving average is a calculation that smooths out price data by creating a constantly updated average price. It helps traders see the overall trend by filtering out daily price fluctuations. Moving averages make it easier to identify the direction of...

What is the MSCI World Index, and how does it represent global markets?

By PriyaSahu - Comment(s)

       The MSCI World Index is a stock market index that tracks the performance of large and mid-sized companies across 23 developed countries. It shows how global stock markets are performing by combining many countries' biggest companies into one index. Th...

What is the National Stock Exchange (NSE) in India?

By PriyaSahu - Comment(s)

       The National Stock Exchange (NSE) is one of India’s largest and leading stock exchanges where shares, bonds, and other securities are bought and sold. It provides a transparent and efficient platform for investors and companies to trade in the financial mar...

What is the NSE Nifty 50 index, and why is it important?

By PriyaSahu - Comment(s)

       The NSE Nifty 50 is a stock market index made up of 50 major companies listed on the National Stock Exchange of India (NSE). It represents the overall performance of the Indian stock market and shows how top companies are doing. The Nifty 50 is import...

What is the opening range breakout strategy?

By PriyaSahu - Comment(s)

       The opening range breakout strategy means buying or selling a stock when its price moves beyond the high or low price range set during the first few minutes after the market opens. Traders watch this initial range to find strong momentum and trade in the di...

What is the optimal asset allocation for a long-term stock investor?

By PriyaSahu - Comment(s)

       The optimal asset allocation for a long-term stock investor typically includes 70% to 80% in stocks and 20% to 30% in safer assets like bonds or fixed income. This balance helps grow your money over time while reducing risk. Stocks give higher returns...

What is the optimal stock portfolio size for diversification?

By PriyaSahu - Comment(s)

       The optimal stock portfolio size for good diversification is usually between 15 to 25 stocks. This range helps reduce risk by spreading investments across different companies without making the portfolio too large to manage. Holding fewer th...

What is the ORB (Opening Range Breakout) strategy?

By PriyaSahu - Comment(s)

       The ORB (Opening Range Breakout) strategy is a popular intraday trading technique that focuses on the price movement during the first few minutes after the market opens. Traders watch the highest and lowest prices during this initial period, called the "open...

What is the ORB strategy in intraday trading?

By PriyaSahu - Comment(s)

       The ORB strategy in intraday trading stands for "Opening Range Breakout." It means traders watch the price range during the first few minutes after the market opens and then trade when the price moves outside this range. This helps catch stron...

What is the origin of mutual funds, and how have they evolved?

By PriyaSahu - Comment(s)

       Mutual funds started as a simple idea to allow many investors to pool their money together and invest in stocks, bonds, or other assets. Over time, mutual funds have grown and changed to meet the needs of different investors with various goals.


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What is the P/E ratio, and how does it help in stock valuation?

By PriyaSahu - Comment(s)

       The P/E ratio, or Price-to-Earnings ratio, is a simple way to measure how much investors are willing to pay for each rupee of a company's earnings. It helps in valuing stocks by showing if a stock is expensive or cheap compared to its profits.


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What is the Parabolic SAR indicator, and how is it used?

By PriyaSahu - Comment(s)

       The Parabolic SAR indicator is a popular tool used by traders to identify when a stock's price trend might be changing. SAR means “Stop and Reverse.” It shows dots on a price chart that help traders decide when to enter or exit a trade by signaling possible trend...

What is the Parabolic SAR indicator?

By PriyaSahu - Comment(s)

       The Parabolic SAR indicator is a tool used in technical analysis to find potential trend reversals and help decide when to buy or sell a stock. SAR stands for “Stop and Reverse.” It shows dots on a chart that appear above or below the price, signaling the directi...

What is the payout ratio and why is it important for dividends?

By PriyaSahu - Comment(s)

       The payout ratio shows how much of a company’s profit is paid to shareholders as dividends. It is important because it helps investors understand if the dividend is safe and sustainable. A lower payout ratio means the company keeps more profit for growth, while a...

What is the PEG ratio and how is it used?

By PriyaSahu - Comment(s)

       The PEG ratio is a tool investors use to check if a stock’s price is fair compared to its earnings growth. It combines the Price to Earnings (P/E) ratio with the company’s expected growth rate. This helps you understand if a stock is cheap, expensive, or fairly v...

What is the PEG ratio, and how do I use it?

By PriyaSahu - Comment(s)

       The PEG ratio is a simple but powerful tool used by investors to check if a stock is fairly priced compared to how fast the company is growing. It combines the Price to Earnings (P/E) ratio with the company's earnings growth rate. This helps you underst...

What is the PEG ratio, and how does it differ from the P/E ratio?

By PriyaSahu - Comment(s)

       The PEG ratio is a stock valuation metric that compares the Price to Earnings (P/E) ratio to the company’s earnings growth rate. It helps investors understand if a stock is overvalued or undervalued relative to its growth. Unlike the P/E ratio, which only looks a...

What is the penalty for late tax filing on stock trading profits?

By PriyaSahu - Comment(s)

       The penalty for late tax filing on stock trading profits in India depends on how late you file your income tax return (ITR) and the amount of tax owed. Generally, if you miss the due date for filing your ITR, the Income Tax Department charges a late filing fee un...

What is the Percentage Price Oscillator (PPO)?

By PriyaSahu - Comment(s)

       The Percentage Price Oscillator (PPO) is a technical indicator that measures the difference between two moving averages as a percentage of the longer moving average. Traders use PPO to understand the momentum of a stock or security by comparin...

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