Tag: Share Advisory Firm

28Jan

How are automated trading systems beneficial for traders?

A Blue Sales Stock Market Analysis Illustration

A Blue Sales Stock Market Analysis Illustration

Automated trading systems facilitate traders to execute their trade orders via computer automatically. They just need to establish certain rules for both entry and exit entries. Once programmed then trade orders will be automatically executed. These automated trading systems are sometimes also referred as algorithmic trading. The rules of entry and exit can be simple conditions or complicated strategy sometimes depending upon the requirement of a trader. One of the biggest advantages of using automated trading system is that the role of emotions is completely eliminated as trade orders are automatically placed once the required set of conditions are met.All the executed orders will be reflected in Demat account. Traders can take suggestions from market experts on Stocks Tips and consider them while giving instructions to their system for better results.
Once a rule is successfully designed, the computer will monitor the market and look for buy or sell opportunities as indicated by the trading strategy. Most recognized benefits of the automated trading system are discussed as follows:
1)Easily back test the results
Using historic data a trader can check the viability of a trading strategy which he is using before applying it live. When an automated trading system is designed all rules are to be explicitly mentioned. There is no room for assumptions and interpretations. Traders can apply their strategy on historic data and understand its results without actually risking their money in the market.
2)Reduce the effect of emotions
Since trading strategy is pre-decided once the specifications are met trade order is automatically executed by the computer. Therefore traders will not further hesitate or doubt on their strategy.
3)Disciplined trading process
At the beginning itself, trade rules are established and based on those rules trade order is automatically executed. When the market is volatile, then also a trader can perform a disciplined trading with an automated trading system . Often due to impatience, fear, assumptions discipline is lost. Also, pilot errors are eradicated.
4)Reduce the amount of time to be devoted to trading
Often there are traders who are willing to trade but do not have sufficient time for it. The automated trading system can be a great advantage to them. As with this, there is no more need to sit and monitor market. All you need to do is give system all the required details and accordingly your orders will be placed in the market.
5)Overcome the challenges raised by different market conditions
Some traders fail or face difficulty to decide when to pull the trigger. They can successfully trade in the market overcoming this barrier with the help of automated trading system.
With above-mentioned advantages, an automated trading system has some disadvantages as well like mechanical failure, over optimization by traders while back testing. Depending upon their requirements a trader can decide he should go for automated trading or not. As it has its own boons and banes. Using smart trading practices are beneficial. Financial advisors like Epic Research offers services like stock market trading tips which are helpful in managing risk and returns.
11May

Epic Research Private Limited – Weekly Fundamental Report HUL 9 May 2015

COMPANY INFORMATION

Incorporated in the year 1933, Hindustan Unilever Limited is a FMCG company. HUL has a diversified presence in the FMCG sector with more than 35 brands spanning 20 distinct categories including soaps and detergents, shampoos, skin care, toothpastes, and packaged foods. British-Dutch company Unilever PLC and its Affiliates are the promoters of HUL and own 52.5 % shares in the Company (On 30 April 2013, Unilever PLC announced plans to increase its stake in the Company to 75 % by way of an open offer). Over the years, HUL has grown substantially by acquiring landmark brands and has managed to maintain its dominant market position in various categories. HUL’s portfolio includes leading household brands including Lux, Lifebuoy, Surf Excel, Rin, Wheel, Fair & Lovely, Pond’s, Vaseline, and Lakme.

HUL volume growth rises 6%, Q4 net profit at Rs.1018 Crore: HUL has posted a net profit of Rs. 10180.80 mn for the quarter ended March 31, 2015 as compared to Rs. 8721.30 million for the quarter ended March 31, 2014. Total Income has increased from Rs. 72447.30 mn for the quarter ended March 31, 2014 to Rs. 77740.40 million for the quarter ended March 31, 2015. The Company has posted a net profit of Rs. 43152.60 mn for the year ended March 31, 2015 as compared to Rs. 38674.90 million for the year ended March 31, 2014. Total Income has increased from Rs. 286401.60 mn for the year ended March 31, 2014 to Rs. 314240.10 million for the year ended March 31, 2015.During the quarter, the Domestic Consumer business grew at 9%, with 6% underlying volume growth, both ahead of market.

Financial Year 2014-15: Competitive and profitable growth delivered: The Domestic Consumer business grew by 10% with 5% underlying volume growth, both ahead of market. Profit before interest and tax (PBIT) grew by 17% with PBIT margin improving +90 bps. Profit after tax but before exceptional items, PAT (bei), grew by 8% to Rs. 3843
Crores, impacted by the higher tax rate. Net Profit at Rs. 4315 Crores was up 12%, aided by the exceptional income arising from property related sales. The strong track record of cash generation was sustained as cash from operations exceeded Rs.5000 Crores for yet another year.

HINDUSTAN UNILEVER FUTURE is looking strong on charts, long build up has been seen, we may see more upside, if it sustains above 900 levels. We advise buying around 880-900 levels with strict stop loss 850 for the targets of 925-950 levels.

 

Get the full report from our website – http://www.epicresearch.co/report-request/submit-request/weekly-reports/fundamental

7May

Weekly Fundamental Report Of Divi’s Laboratories Limited

Divi’s Laboratories Limited develops new processes for the production of Active Pharma Ingredients (APIs) & Intermediates. Divis Laboratories was set up in the year 1990 and established its first manufacturing facility in the year 1995 in Hyderabad and a second manufacturing facility at Visakhapatnam in the year 2002.

The Hyderabad plant comprises of 13 multi-purpose production blocks While the Visakhapatnam site has 14 multi-purpose production blocks. The Company’s product portfolio comprises of two broad segments i) Generic APIs (Active Pharma Ingredients) and Nutraceuticals and ii) Custom Synthesis of APIs, intermediates and specialty ingredients for innovator pharma giants.

The Company operates predominantly in export markets and has a broad product portfolio under generics and custom synthesis. Exports constituted around 90% of gross sales in FY 2013 are as against 89% in the previous year. Exports to advanced markets comprising Europe and America accounted for 77% of business.

Outlook and Valuation :

Divi’s Labs (DIVI) 3QFY15 PAT at INR2.2b was 8% below expectations, mainly on slower topline growth. Revenues grew 6% YoY to INR7.9b (6% miss), while EBITDA margin (36% vs 38% est) was impacted by weaker business mix, resulting in higher miss at EBITDA level (INR2.8b, down 1% YoY). Forex gain of INR112m cushioned profitability, adjusted for which net profit declined 5% YoY at NR2.1b.

We have cut our FY15-17E forecasts by 3-4% mainly to factor lower EBITDA margins (37% now, 100bp lower) on a weaker business mix as well as onset of new capex addition phase. DIVI trades at 22x FY16E and 18x FY17E (P/E), largely in line with its historic average, limiting valuation upside. Onset of large capex addition would also restrainscope for earnings surprise. Strong Balance sheet (net cash), high return ratios (RoE at ~27%) provide valuationcushion. We downgrade our rating to Neutral (from Buy earlier), with our revised target price of 1650-1550.

DIVIS LAB FUTURE is looking weak on charts, short build up has been seen, we may see more downside, if it sustains below 1800 levels. We advise selling around 1750-1800 levels with strict stop loss 1900 for the targets of 1650-1550 levels.

Get the full report from our website – http://www.epicresearch.co/report-request/submit-request/weekly-reports/fundamental

9Mar

Indian Stock Market and Share Market Tips And Tricks Which always Work

Indian Stock Market is that economic center of the country which regulates the flow of money and contributes in the financial growth. Many people use to invest in this huge capital market for the better returns. Also, there are many who lost their funds due to several reasons and leave this place. Therefore, it is not considered for a secure investment like other modes like mutual funds, SIP, long term fixed deposits and so on. Also, when any trader put their amount in it are advised to take risks and face the adverse losses.

If we look deep into this capital market we found that, like many other fields this one also can be handled with few tricks. There are few rules which always work to make a comparative secure decision and also to lower down the losses if the decision of any trade or purchase was wrong. If you are a long time player of this market then you might be using all or few tricks and if you are a beginner then these tips will help you in most difficult transactions.

Patience is the King – This is very important rule or trick, whatever you want to call it. Many people loose only because they are in a hurry to generate money. Here you have to wait for the right moment always. Also, during tough time only patience will save you to take right decisions and secure most of the amount. If you exit at wrong time then there is a possibility to loose a range of profit percent in future. So, have patience before any movement whether it is during entry level or the exit one.

Buy At Lower and Sell At Pricey – This is the simplest key to survive in the market for a long run. Taking risk is your decision and it never works always so, if you follow this rule then always have a secure side in the trading session. Sometimes one have to take decision not only to make profit but also for the safe journey, this rule works there and provide you with the basic amount and average profit to invest further in a more profit generating trade.

The Market is not Steady – The market is bound to fluctuate to continue the flow of money and grow further. If the change is not in your favor then it will change, if it is in your side then also it is not permanent. You have to gain that expertise to catch the timing without loosing hope and patience. Those who predicts the market are nor very fortunate people or magicians but they are skilled to read the market trends. And, last but not the least, they also fails to predict it right atleast once in their life.

Trust on Right – This market is also equipped with rumors and wrong predictors. Thus it is very important to choose the right one to trust upon. Always use your knowledge and technical sources before following someone. This doesn’t mean that you cannot trust anybody, but precaution is always better than cure is the right principal for this marketplace.

Profit and Loss Are the two sides of a Coin – While entering the market people only think about maximizing the profits but reducing the losses is equally important for a trader. There are few instruments like ‘stoploss’ through which any investor can save the amount from huge loss. Thus don’t run after single point but also look for other aspects of the investment.

Make a long term Stay Strategy – All the above points will help a trader to stay longer in the market and this is the right strategy to adopt. Take those decisions which help you in longer run, do not become greedy and put your amount in danger. Make timely decisions and also have patience to stay longer for maximum returns.

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