Assumptions

Market action discounts everything This means that the actual price is a reflection of everything that is known to the market for example, political factors and market sentiment. The pure technical analyst is only concerned with price movements, not with the reasons for any changes. Prices move in trends Technical analysis is used to identify patterns of market behavior. For many given patterns there is a high probability that they will produce the expected results. Also there are recognized patterns that repeat themselves on a consistent basis. History repeats itself The same kinds of events seem to happen over and over. What goes up eventually comes down, and what goes down eventually comes up. Investors & speculators react the same way to the same types of events homogeneously. Law of demand/supply drives prices in the market Market prices are determined by the interaction of supply & demand forces.

Limitations of Study
Analysis involves using limited technical tools. The study is restricted only to three selected stocks. The study depends more on secondary data rather than on primary data. We cant predict prices of the stocks for long term. Technical analysis cant be applicable to newly listed companies scripts. No justification for using specific tool for analysis

Objectives of the Study

To make a study on Technical Analysis on selected stocks and interpret on whether to buy or sell them. To gain practical knowledge of technical analysis. To know how technical tools are used to predict the future behavior of stocks. To know how charting techniques are useful to take buy and sell decisions. To provide investor with a technique with which they can make a decent profit by trading in stocks. To analyze price movements using Relative Strength Index (RSI) indicator. To understand trends and patterns in share price movements using Exponential Moving Average (EMA).

To forecast the future trends and provide suitable suggestions to the investors.

Methodology
The study aims at analyzing the price movements on DAILY EOD basis of selected companys scripts. For Technical Analysis, the daily share price movements of the selected companies in NSE were absorbed. The closing prices of share prices were taken and the future price movement was analyzed using various tools. Data were collected from trading of equity market in NSE, Google Finance and Global Data feeds. Different Patterns (Uptrend, Downtrend, Sideways, and Harmonic) and Indicators (RSI, MACD, KST, and EMA) are used to analyze the price movement of stock.

Project Proposed
Technical analysis of Equities A method of predicting future prices of securities based on past price movements. Evaluating securities by analysing statistics generated by market activity, such as past prices and volume. This analysis will act as reference to investor to invest on selected stocks, let them know the Entry and Exit point Determining the price movements with different patterns and indicators. The study will include Identify Trend of the market Determine the trend of stocks prices Use an appropriate stop loss Keep following trend till market proves it has reversed Keep out of the market when the market is not showing significant trend on way or the other Keep track of price charts and decide the right time to buy and sell securities