A stock market is a place where the shares of each organization are bought and sold. The value of the organization is based on the market evaluations done on it. It could be certain projects announced by the company or declaration of dividends.
Either way share market value of a company is inspected with scrutiny before any foreign or domestic organization plans on investing in the organization. This is why when India banned Tik Tok just before it was about to offer its initial public offering or IPO it’s share values went down and thus couldn’t go forward with the IPO. Issuing shares is one way of raising capital by companies and the higher their share value the higher the capital they can raise.
Analytics in Share Trading
The interest in share trading and the stock market is increasing these days among people. People are interested in investing some of their savings and salary in the stock market. Also, there is also an increase in SIP (Systematics Investment Plan) among people these days. All of these point to the irrefutable fact that the stock market and market trading is now getting more traction among people. People are no longer looking at the stock market with the skeptical eye that they used to see it with. To help prospective investors and stockbrokers to have a fair footing in the stock market, stock market analytics is used. The use of stock market analytics is used to predict where the next trend in the stock market can go to. Will the market be having a bullish trend or will the market be having a bearish trend. Will a particular stock have chances to gain value after announcing IPO or will it remain constant.
All these questions and more can be somewhat answered by stock market analysis. But any analysis on the stock market is subjected to risk of fluctuation just like the stock market itself as unknown facts like a pandemic or Sino-Indo border conflict can lead the stock market to crash and lose points. In other words, stock market analysis helps investors have a small level of control over the shares they have or at least help them to an extent.