Investment analysis and portfolio management

Assignment no: 3 technical analysis of ICICI Bank

Aqsa muqadas Javaria shams Firdous kausar Javeria munie semab sadat saliha nadeem

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Technical analysis of a company

The goal of technical analysis is to predict the future price of stocks, commodities, futures and other tradable securities based on past prices and performance of those securities. Technical analysts apply the law of supply and demand to understand how the stock market and other securities exchanges work, identifying trends and profiting from them. The following steps will help you understand technical analysis and how it is applied to choosing stocks and other commodities.
1.

Price movements can often be charted and predicted. Technical analysts acknowledge that there are periods when prices move randomly, but there are also times when they move in an identifiable trend. Once a trend is identified, it is possible to make money from it, either by buying low and selling high during an upward trend (bull market) or by selling short during a downward trend (bear market).

2.

Unlike fundamental analysis, which looks at balance sheets and other financial data over periods of several years, technical analysis focuses on periods no longer than a month and sometimes as short as a few minutes. It is suited to people who seek to make money from securities by buying and selling them rather than those who invest for the long term.

3. Technical analysts use 4 different kinds of charts. They use line charts to plot closing stock prices over a period of time, bar and candlestick charts to show the high and low prices for the trading period (and gaps between trading periods if there are any), and point and figure charts to show significant price movements over a period of time. 4. The trend is probably valid. If the trading volume increases only slightly when the price goes up, or goes down instead, the trend is probably due to reverse itself. 5. The linear weighted average takes each price and multiplies it by its position on the chart before adding the prices together and dividing by the number of prices. In a 5-day period, the first price would be multiplied by 1, the second by 2, the third by 3, the fourth by 4 and the fifth by 5.

6. Indicators may be either leading or lagging. Leading indicators predict price movements
and are most useful during horizontal trends to signal up trends or downtrends, while lagging indicators confirm price movements and are most useful during up trends and downtrends

Technical analysis Icici bank limited.

Price ranges of ICICI Bank:
Date High Low Close Price 15/01/2014 1068.8 14/01/2014 1061.0 13/01/2014 1061.1 10/01/2014 1054.6 09/01/2014 1065.6 07/01/2014 1059.2 06/01/2014 1069.0 03/01/2014 1075.0 02/01/2014 1118.0 1042.9 1033.0 1030.1 Price Price % 1058.35 25.90 2.48 1036.45 28.00 2.71 1054.90 31.00 3.01

Range Range

1018.65 1024.50 35.95 3.53 1042.25 1050.85 23.35 2.24 1054.30 20.55 1.97 1023.85 1050.00 35.35 3.45 1035.05 1040.80 33.95 3.28 1045.0 1070.1 1066.80 30.00 2.87 1075.60 47.90 4.48 1097.70 14.05 1.29

08/01/2014 1063.85 1043.3

01/01/2014 1106.05 1092.0

Three Inside Up Candlestick Chart Pattern is a bullish trend reversal pattern of high reliability. It is formed at a down trend or at a possible support. This pattern is a three day candlestick pattern or one can say it takes three days for this pattern to be formed. On closely observing this pattern, it is mere an confirmed extension of Bullish Candlestick Pattern. Candlestick pattern was formed by ICICI Bank Ltd. tick pattern was formed by ICICI Bank Ltd. View Interactive charts with technical indicators like RSI , MACD, Bollinger Bands , MFI , ROC , fast Stochastic, slow stochastic, Williams %R, volume, price volume Trend, Simple Moving Averages ( 3

days, 5 days, 10 days, 15 days, 22 days, 30 days, 50 days, 100 days & 200 days) and EMA ( 5 days, 10 days, 15 days, 20 days, 50 days, 100 days & 200 days) & Period (one year, 1,3,6 Months.

Current share prices of ICICI:

Current Share Price Three Days Five Days Ten Days Fifteen Days Twenty Two Days Thirty Days Fifty Days Hundred Days Two Hundred Days 1058.35 1049.90 1045.01 1051.26 1067.71 1075.24 1091.24 1076.64 1010.10 1034.56

Volume Trend of ICICI Bank Ltd.

Period Latest 3 Day Avg 5 Day Avg 10 Day Avg 14 Day Avg 1 Month Avg 3 Month Avg Volume 3436180.0 3261517.0 3450509.0 3165496.0 2555559.0 2755683.0 3348346 Significant Up false false false true true Significant Down false true true false false

Technical analysis of ICICI BANK for ten years on weekly basis:

The ICICI Bank limited chart for ten years was conducted in technical analysis it is showing upward trend with a nominal change in stock prices in back years it is constant then it moved down and now for few years it is showing upward trend in relative strength index. it shows that in relative strength index prices moves sometime but when they move they constantly show upward trend.