Finance and Issues

Technic Ana T cal alysis
Learnin Objecti ng ive: An understanding to draw tech hnical charts and interpr the trends s ret s
shown by these ch n harts. Learning Outcome: After goin through this assignm g ng ment, the le earner would be able to use d o technical an t nalysis while valuing a particular stock or po e ortfolio of s stocks either as an individual in e nvestor or on behalf of a investor company. n any Mr. Inve estor – a short period gainer alway looks for the stocks offering qu g ys r uick gains in the market. He basis his investment decision up technica analysis. For that pur H s t pon al rpose, he us to ses consult various chart depicting the price tr v ts rends in the shorter peri iod. He is w aware o the well of utility of these charts for an investor like hi as bar ch is one o the most popular cha in f im, hart of arts technical analysis. The technicia use this chart to sear patterns in the chart that can be used l ans c rch t to predic future pri moveme ct ice ents. Candlestick chart is an enhan nced version of bar cha It n art. provides much clear picture abou open, high low and c ut h, close price o a share. This chart is m of much popular these days. t At presen he is plan nt, nning to inv an amou of Rs. 0 .50 million in few of th stocks list at vest unt he ted st KSE. Fo this purpo he has gathered dai prices of 3 compani for the 1 quarter o FY or ose, g ily f ies of 2012-13. With this price data, as usual - he will draw Ba Chart and Candlestick Chart to tak the w ar k ke decision to invest in any of the se elected comp panies.

Requirement: 1. Construct technical bar chart and candlestick chart using the data given in the following tables for each of the three companies in Excel format. (6 marks) 2. Interpret these charts in respect of the trends shown therein along with the signals depicted by these trends. (6 marks) 3. On the basis of the trends depicted in the charts constructed above, which of the company is suitable to invest? Your...