Suryanshi Finance & Trading Academy provides a beginner-level Eye Opener class. The EYE OPENER is important in the stock market is running based on two theories.

1. DOW THEORY 2. FII ORDER FLOW THEORY

Both theories depend upon the KEY CORE CONCEPT.First understand the key concept, then decide which one will be best for your Trading and Value Investing.

4 KEY CORE CONCEPT

1.  Fundamental –Investment

2.  Technical — Trading

3. Option Selling — Control your Capital Risk

4. Global Market– Market Direction

What is the Dow Theory?

Dow theory is one of the major useable   core concepts of the Indian stock market. It includes some sector rotational concepts. Most technical analysis uses this theory for stock market investment and trading. Now it’s a popular theory written by Charles H. Dow.Dow theory follows the three trends of the stock market, like Up trend, Down Trend and Sideways Trend. After the accumulation phase, then stocks follow the uptrend, sideways and down trend accordingly.

What is Financial Market Order flow theory?

This theory follows the FIIS & DIIS order flow. The big players always place their bulk order after receiving the order, the market will move up, then the market creates over broken conditions. After that, the market will pull back and retracement. We find out the area where the pending order is lying and put our order in that place after thinking that the market will move up.

4 KEY CORE CONCEPT

• One is Fundamental for Investment, which is based on five more major components.
• The current economic system gives us the strength of the country, i.e. GDP, Inflation, Deficits and policy
• Management is the team who drives the company towards financial success.
• PE Ration means the price earning ration is a formula of the current market price divided by earnings per share, and provides us with a selection of 2 to 3 stocks from a sector.
• The EBITDA Margin means Earnings before Interest Tax Depreciation and Amortization is its purely operating profit.
• Cash flow is one of the important indicators for measuring the cash strength of the company. It means total inwards and outwards of cash transaction.
• The balance sheet is the most essential indicator to identify the total financial strength of the company. The key measure is current liability plus borrowing is lower than current assets. FIIs & DIIs holding 10 to 20 percentage should be mandatory in a company.