BSE NSE Stocks Highest and Lowest Delivery, Stock Market Volume Analysis
BSE NSE Stocks highest and lowest delivery is an interesting matrix when it comes
to stock market volume analysis. When you get the overall volumes on a particular
stock it includes the trading volumes and the delivery volumes. Let us understand
the difference between the delivery volumes and non-delivery volumes here. As is
well known, Indian stock market operates on the T+2 rolling settlement systems.
That means, if you buy a share in the morning then you can either square off before
evening or you have to take delivery on T+2 day. Similarly, if you sell shares in
the morning, you can either square off the transactions on the same day or you will
have to give delivery. That means you must be having these shares in your demat
account to give delivery. The non-intraday trades are referred to as delivery volumes.
Why is BSE NSE stocks highest and lowest delivery volumes important…?
An intraday trade reflects an opportunistic trade whereas in a delivery trade the
investor is either committing money in case of a purchase or committing shares in
case of sale. On the LKP Research page, you can actually rank the stocks on any
particular day based on the delivery volumes percentage. This is a very important
part of stock market volume analysis on LKP Securities. For example if 10 lakh shares
were traded in a stock and 8 lakh shares resulted in delivery then the delivery
percentage is 80% = 8 lakh / 10 lakh. The LKP Securities page also permits you to
rank such high delivery and low delivery stocks on various criteria like the sector
they belong to, the theme they represent, the stock group they belong to etc. More
than absolute delivery information or ranking of delivery percentage on a particular
day, a time series trend will be more useful to the investor.
Delivery percentage with reference to price movements…
To get a proper analytical perspective of highest and lowest delivery share, the
investor needs to focus on how the price movements have trended with the trend in
delivery percentage. For example, if a sharp rise in delivery volumes is accompanied
by a sharp rise in price then it shows aggressive buying and can be a bullish signal.
But, if the stock price is consistently falling with rise in delivery percentage
then it is a sign of delivery selling and can be a bearish indicator. Additionally,
if the stock prices are rising with falling delivery volumes then it is a sign of
speculative froth or short covering and hence not sustainable.
Delivery price percentage as an analytical measure is most useful when studied in
conjunction with the price movement. It is the combination of price and the delivery
percentage that actually gives a directional affirmation to the stock.