{"id":206,"date":"2009-10-22T15:06:23","date_gmt":"2009-10-22T09:36:23","guid":{"rendered":"http:\/\/www.niftylivecharts.com\/blog\/?p=206"},"modified":"2009-10-22T15:06:23","modified_gmt":"2009-10-22T09:36:23","slug":"theories-on-stocks-trading","status":"publish","type":"post","link":"https:\/\/www.niftylivecharts.com\/blog\/theories-on-stocks-trading\/","title":{"rendered":"THEORIES ON STOCKS TRADING"},"content":{"rendered":"<p>Dow theory<br \/>\nA theory which says the market is in an upward trend if one of its averages (industrial or transportation) advances above a previous important high, it is accompanied or followed by a similar advance in the other.<br \/>\nthe theory holds with the fact\u00a0 that there is no primary trend in the stock market, unless and until the movements of industrial, transportation, and utility shares substantially follow the same trend.<\/p>\n<p>Efficient Market Hypothesis<br \/>\nThe hypothesis that holds that the financial market is in possession of all available information which influence the price of a share or financial security, that result in perfect competition in the financial market. Perfect competition in the stock market context implies that buyers and sellers are having\u00a0 perfect knowledge. An \u201cefficient\u201d market for securities, that is, a market where, given the available information, actual prices at every point in time represent very good estimates of intrinsic values.\u2019<\/p>\n<p>ELSS<\/p>\n<p>Equity Linked Savings Schemes was Introduced in 1990 under section 88CCB of the Income Tax Act, the scheme is now embraced by Section 80 of the same Act. Equity linked saving schemes are a kind of mutual funds like diversified equity funds with Tax benefits. It is just like other tax saving instruments like National Savings Certificate and Public Provident Fund. Main advantage with ELSS is lock-in period is only 3 years while for NSC it is 6 years and for PPF it is 15 years. At the same time risk factor is high inELSS.<\/p>\n<p>Eligible Securities<br \/>\neligible securities are all Shares, debentures, and bonds which banks will accept as COLLATERAL for loans wothout any hassels . Only listed shares are eligible, although banks have\u00a0 their own rules about what and what not to accept among the eligible securities.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Dow theory A theory which says the market is in an upward trend if one of its averages (industrial or transportation) advances above a previous important high, it is accompanied or followed by a similar advance in the other. the theory holds with the fact\u00a0 that there is no primary trend in the stock market, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[1],"tags":[949,945,946,948,947,857],"class_list":["post-206","post","type-post","status-publish","format-standard","category-general","tag-basic-terms-on-stocks-and-trading","tag-dow-theory","tag-efficient-market-hypothesis","tag-eligible-securities","tag-elss","tag-shares","entry"],"_links":{"self":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/posts\/206","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/comments?post=206"}],"version-history":[{"count":0,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/posts\/206\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/media?parent=206"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/categories?post=206"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftylivecharts.com\/blog\/wp-json\/wp\/v2\/tags?post=206"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}