Skip to main content

Nifty Signals Software for Buy Sell Signals for Day Trading



In Indian Stock Market, Foreign Institutional Investor (FII) is allowed to invest in the primary and secondary capital markets through the portfolio investment scheme (PIS).
Under this scheme, FIIs can acquire share / debentures of Indian companies through the stock exchanges in India.  The ceiling for overall investment for FIIs is 24 percent of the paid up capital of the Indian company.  The limit is 20 percent of the paid up capital in case of public sector banks, including the State Bank of India, whose huge selling by FIIs brought the share to below 2000 level in February and March series.  The besttrading software analyses these aberration in FIIs inflow or outflow resulting in such a sharp reaction in even BULL MARKET.
THE CUT-OFF
The ceiling of 24 per cent for FII investment can be raised up to sectoral cap / statutory ceiling, subject to the approval of the board and the general body of the company passing a special resolution to that effect. And the ceiling of 10 per cent for NRIs / PIOs can be raised to 24 per cent subject to the approval of the general body of the company passing a resolution to that effect.  The ceiling for FIIs is independent of the ceiling of 10 / 24 per cent for NRIs / PIOs.
The Reserve Bank of India (RBI) monitors the ceilings on FII / NRI / PIO investment in Indian companies on a daily basis.  Fore effective monitoring of foreign investment ceiling limits, The RBI has fixed cut-off points that are two percentage points lower than the actual ceilings.  The Intraday tradingsoftware keeps track of these investments on daily basis too. It helps analyse the mood of FIIs towards Indian stock market. 
RBI’s STANDING ACTION
Once the aggregate net purchase of equity shares of the company by FIIs / NRI / PIO reach the cut-off point, which is 2 % below, the overall limit, the RBI cautions all designated bank branches so as not to purchase any more equity shares of the respective company on behalf of FII / NRI / PIO without prior approval of the RBI.  The link offices are then required to intimate the RBI about the total number and value of equity share /convertible debentures of the company they propose to buy on behalf of FII / NRI / PIO.  On receipt of such proposals, the RBI gives clearance on a first come first basis  till such investments in the companies reach 10 / 24 / 30 / 40 / 49  per cent limit or the sectoral caps / statutory  ceilings as applicable.  On reaching the aggregate ceiling limit, the RBI advises all designated bank branches to stop purchases on behalf of their FII / NRI / PIO clients.  The RBI also informs the general public about the ‘caution’ and ‘stop purchase’ in these companies through press release.
The intraday traders cautiously watch the moves of FII and go with their flow.  The activity of FII can also be seen majorly in NIFTY FUTURE OR NIFTY OPTION trade which shows sudden spur and nose-dive reactions.
Contact No.+91-9958406102

Comments

Popular posts from this blog

FII AND INDIAN STOCK MARKET

In fact, Foreign Institutional Investor ( FII)  is allowed to enter into INDIA only through stock markets either in the form of equity of debt.  Thus it makes an impact on the rise or fall of Sensex or nifty, since FII is allowed to be purchased or sold daily.  The daily transaction of FII is the reason behind the volatility in the stock markets and has strong impact on the various macro-economic variables and the economy as a whole.  The impact of variation in inward or outward flow of FII can be simply exhibited in NIFTY LIVE behavior pattern.  The impact of FII can be best interpreted by explaining the recent behavior of market.  The second half of NIFTY FUTURE February series showed a well deserved consolidation after a long BULL-MARKET.  However, NIFTY FUTURE March series ended up with SENSEX slipping below psychological mark of 18000.  These all epitomizes the immense impact of FII flow in the Indian Stock Market.  Intraday traders ...

Buy Sell Signal Software

FM ADVOCATES FOR RATING UPGRADE FOR ECONOMY—STOCK MARKET         There is strong case for rating upgrade of Indian economy by global rating agency on the back of increasing investments, declining import of gold and government’s commitment to fiscal prudence.   The expert in stock market and those who trade in nifty consider it a strong move which will boost up confidence of retail investors in the stock market .   The issue of rating upgrade was raised by FM officials at a meeting with the rating agencies.   The ministry expressed confidence that current account deficit (CAD) will surely come down as oil prices are stable and the rupee has been range bound.   Moreover, the cabinet committee on investment has also approved projects worth Rs 70000 crore in three months time. In general the infrastructure and in particular the cement industry and steel industry will have positive impact.   The government has set up...

SECRETS OF SUCCESSFUL TRADING

50 Golden Rules of Stock Market Trading I’m sure most everybody knows these truisms in their hearts, but this list is nicely edited and makes a good read. 1. Plan your trades. Trade your plan. 2. Keep records of your trading results. 3. Keep a positive attitude, no matter how much you lose. 4. Don’t take the market home. 5. Continually set higher trading goals. 6. Successful traders buy into bad news and sell into good news. 7. Successful traders are not afraid to buy high and sell low. 8. Successful traders have a well-scheduled planned time for studying the markets. 9. Successful traders isolate themselves from the opinions of others. 10. Continually strive for patience, perseverance, determination, and rational action. 11. Limit your losses – use stops! 12. Never cancel a stop loss order after you have placed it! 13. Place the stop at the time you make your trade. 14. Never get into the market because you are anxious because of waiting. 15. Avoid g...