Mongol invasion on the Muslim world

The Mongols entered history as just one among a number of nomad tribes on the steppes of central Asia. The rise of the Mongols and the beginnings of the Mongol conquests arose out of a dramatic shift from such disunity to unity, and it was achieved through the personality and military skills of one man. In all probability he was born in 1167. He was given the name of Temuchin. The nomad world he entered was a fierce and unforgiving one of rivalry and survival skills. Like all Mongol children, Temuchin learned to ride with great skill and to handle a bow and arrows. After an eventful younger life his thoughts turned towards the opportunity of defeating his rivals and taking control of the unified Mongol tribes. Many years of warfare followed, the decisive victory being Temuchin's defeat of the Naimans. In 1206 a grand assembly was called at the source of the Onon River. A white standard symbolizing the protective spirit of the Mongols was raised. Its nine points represented the newly unified Mongol tribes. The gathering then proclaimed Temuchin as Genghis Khan (‘Universal Ruler') (Turnbull, 2003). Before we turn to the Mongols beliefs and their attitudes towards the religions of others, some general observations are in order. We cannot take it for granted that the motives for, or indeed character of, â€Å"conversion† in the thirteenth century will be identical with those we would recognize today—or certainly those which would meet with the approval of the purist. In particular, such motives might have more to do with political, diplomatic or economic considerations than with inner conviction. We should be wrong to emphasize the individualistic over against the communal, the internal over against the outward form of law or cultic practice, and the profoundly personal transformation over against the adoption of additional cultural norms. For instance, the Uighur conversion to Manichaeism in the late eighth century had owed something to economic relations with Sogdian merchants, and it has also been called—like the Khazar afghans adoption of Judaism—â€Å"a declaration of ideological independence.† (Jackson, 2001) Like earlier steppe rulers, the Mongol qaÄÅ'ans presided over public debates between representatives of different faiths. The impulse behind these events is unclear. In a recent article, Richard Foltz points out that the effect of the whole policy was to make mischief, but he stops short of suggesting that the aim was to divide and rule. It has been proposed that a debate took place at the point when the sovereign meditated a change of religious allegiance. There may be some truth in this: Juwaynis account of the conversion of the Uighurs some centuries previously, indeed, appears to be based upon the idea that such debates were always the means of bringing the ruler to a new faith. But we cannot discount the possibility that one purpose was entertainment—that the public religious disputation, in other words, was the intellectual counterpart of the bloody gladiatorial conflicts which the Mongols staged between captured enemy soldiers (Fiey, 1975). Lastly, the frontiers between different faiths were not impermeable. â€Å"Shamanism† was itself an amalgam, and we occupy no vantage point that enables us to distinguish some pristine model from accretions that might have attached themselves to the Mongols' beliefs in the few centuries preceding the rise of Chinggis Khan (Franke, Herbert 1994). A syncretistic approach had long been the hallmark of the nomads religious beliefs; it is reflected in the Secret History of the Mongols, where elements from the mythical history of the early Turks, the Khitans and other steppe and forest peoples are appropriated and integrated into the Mongolsown origin myths (Amitai-Preiss, 1996). Intent as the Mongols may have been on sharing the world only with subjects, they were also compelled to share it with a plethora of spirits, often malevolently inclined and in any case termed â€Å"demons† by Western European writers. When Rubruck's little group in 1253 passed through a difficult stretch in the Tarbaghatai range, his guide asked the friars to chant a prayer that would put the demons to flight. Diagnosis of the activity of these invisible powers, and if possible their harnessing for good purposes, was the job of the shamans; and there is no dearth of testimony that by the middle decades of the thirteenth century Mongol rulers manifested a heavy dependence upon shamans and fortune-tellers. Shamanistic activities are geared to influencing conditions in this life, not to securing an after-life. The Mongols ancestral beliefs and practices and the great world religions, in other words, were valid for different spheres: hence the â€Å"tolerant† policy of the Mongol qacans, to which we shall return (Elias, 1999). So it was not at all incongruous that a Mongol sovereign or prince should make some formal gesture towards, say, Christianity or Islam while continuing to observe the â€Å"shamanistic† practices of his forebears: Rubruck saw even those of Mà ¶ngke's wives who had no knowledge of the Christian faith venerating the cross (Charpentier, 1935). We do not have to see this as some kind of celestial insurance, as if any of the several faiths with which the Mongols were confronted might embody the Truth and so it was advisable to court them all, although the idea finds support in a speech ascribed to Qubilai by Marco Polo. On leaving the camp of the Mongol prince Sartaq, Rubruck was told, â€Å"Do not call our master a Christian: he is not a Christian; he is a Mongol.† (Heissig, 1980) Although he goes on to say that â€Å"they regard the term Christendom as the name of a people† (i.e. presumably the Franks of Europe), it is doubtful whether this necessarily supports DeWeese's contention that religion in Inner Asia was a communal affair. It may well have been so; but Rubruck (whose interpreter was proverbially inadequate) could easily have misunderstood the reason for the warning, and a different explanation comes to mind. We should notice that on several occasions the Mongol terms for religious specialists seem to have been interpreted as denoting the religious community as a whole. Rubruck, for instance, employs the Mongol word toyin (Chinese daoren, â€Å"man of the path,† i.e. Buddhist priest) as a designation for the Buddhists (â€Å"idolators†) in general (Fennell, 1983). And the use of erkeÄÅ'à ¼n (â€Å"Christian priest†) betrays a similar confusion in the thirteenth-century sources. This might explain the apparent bewilderment of the Qacan Gà ¼yà ¼g at Innocent IV's request that he become a Christian and the anger in the camp of the Mongol general Baiju over the same injunction on the part of Ascelin. The QaÄÅ'an Mà ¶ngke, too, objected when Rubruck was misrepresented as having called him a toyin. It is possible that with one exception the Mongolian lexicon recognized only religious specialists and contained no word for the respective religious community en masse. The exception was the Muslims who confronted Chinggis Khan in the shape of the powerful KhwÄ razmian Empire. Here two words were available: sartacul, employed in the Secret History to designate the KhwÄ razm-shÄ h's subjects, and dashman (from Persian dÄ nishmand, literally â€Å"learned man†), which denoted the Muslim religious class. But to the best of our knowledge the language contained no word for â€Å"Christian† or â€Å"Buddhist,† as opposed to erkeÄÅ'à ¼n or toyin for priest/monk. Even in the late thirteenth century Persian authors in the Mongol empire equated â€Å"Christian† (Persian: tarsÄ ) with â€Å"Uighur† on account of the large number of Christians among that people (Allsen, 1994). At what juncture â€Å"Shamanism† merits being called a religion, it is difficult to say. It has been proposed that in any consideration of the religious beliefs and practices of Inner Asian peoples we need to distinguish between â€Å"popular† cultic practice—â€Å"folk religion, † as Heissig calls it —and what has been termed â€Å"Tenggerism, † centered on the sky-god, i.e. those beliefs and practices associated with a monarchy based on divine sanction. DeWeese is skeptical, and sees the dichotomy as between, not two competing levels of religious thought and ritual, but â€Å"imperial† and â€Å"domestic† styles of evoking essentially the same system of religious values and practices (Amitai, 2001). A clash between the aspiring steppe emperor and the representative of popular traditions might, nevertheless, provide a framework within which we can locate the downfall of Teb Tenggeri (Kà ¶kà ¶chà ¼), the shaman who had been instrumental in Chinggis Khan's enthronement but had then got above himself and was eliminated. RashÄ «d al-DÄ «n seems to suggest that Teb Tenggeri had a following among the ordinary Mongols, who were ready to believe in his spiritual accomplishments. The difficulty with this scenario is that it was Teb Tenggeri who invoked Heaven's mandate and Chinggis Khan who disregarded it (Bundy, 1996). The notion that the early thirteenth-century Mongols worshipped the supreme sky-god, Tengri (Tenggeri), has been challenged on the basis of the way in which the term tenggeri is used in the Secret History, the only Mongolian narrative source that has come down to us. But Anatoly Khazanov makes the plausible suggestion that the Mongols were experiencing the pull of monotheism, as Tengri took on more of the attributes of the omnipotent God. Indeed, a shift is visible during the early decades of the conquest period, to judge from the comments of contemporary observers. The Mongols believed in one God, creator of all things visible and invisible, though they did not worship Him, as was fitting, reverencing idols instead. Subsequent observers, at any rate, were ready to class the Mongols as monotheistic. Rubruck assumed that they had acquired monotheism from the Uighurs. â€Å"You are not a polytheist,† Qadi HamÄ «d al-DÄ «n SÄ biq SamarqandÄ « told Qubilai Qacan during the clampdown on Islamic observance in China in the 1280s, â€Å"because you write the name of the great God at the head of your edicts (yarlighs)† (Jackson, 1994). This development, of course, made it easier for representatives of the different confessional groups to claim the Qacan as one of their own. Reference: Allsen, Thomas T. â€Å"The Rise of the Mongolian Empire and Mongolian Rule in North China.† In CHC. Vol. 6: Alien Regimes and Border States, 907–1368, eds. H. Frank and D. Twitchett. Cambridge, 1994, pp. 321–413. Amitai, Reuven. â€Å"The Conversion of Tegà ¼der Ilkhan to Islam.† JSAI, 25 (2001), pp. 15–43. Amitai-Preiss, Reuven. â€Å"Ghazan, Islam and Mongol Tradition: A View from the MamlÃ… «k Sultanate.† BSOAS, 59 (1996), pp. 1–10. Bundy, David. â€Å"The Syriac and Armenian Christian Responses to the Islamification of the Mongols.† In Medieval Christian Perceptions of Islam: A Book of Essays, ed. John Victor Tolan. New York and London, 1996, pp. 33–53. Charpentier, Jarl. â€Å"William of Rubruck and Roger Bacon.† In Hyllningsskrift tillà ¤gnad Sven Hedin pak hans 70-akrsdag den 19. Febr. 1935. Stockholm, 1935, pp. 255–67. Elias, Jamal J. â€Å"The Sufi Lords of Bahrabad: Sa'd al-Din and Sadr al-Din Hamuwayi.† Iranian Studies, 27 (1994), pp. 53–75. Endicott-West, Elizabeth. â€Å"Notes on Shamans, Fortune-tellers and yin-yang Practitioners and Civil Administration in Yà ¼an China.† In The Mongol Empire and Its Legacy, eds. R. Amitai-Preiss and D.O. Morgan. Leiden, 1999, pp. 224–39. Fennell, John. The Crisis of Medieval Russia 1200–1304. London, 1983. Fiey, J.M. â€Å"Iconographie syriaque: Hulagu, Doquz Khatun †¦et six ambons?† Le Musà ©on, 88 (1975), pp. 59–68. Foltz, Richard. â€Å"Ecumenical Mischief under the Mongols.† CAJ, 43 (1999), pp. 42–69. Franke, Herbert. From Tribal Chieftain to Universal Emperor and God. The Legitimation of the Yà ¼an Dynasty. Sitzungsberichte der bayerischen Akademie der Wissenschaften, phil.-hist. Klasse, 2. Munich, 1978 [Reprinted in H. Franke. China under Mongol Rule. Aldershot, 1994]. Heissig, Walther. The Religions of Mongolia. Tr. Geoffrey Samuel. London, 1980. Jackson, Peter. â€Å"Christians, Barbarians and Monsters: The European Discovery of the World beyond Islam.† In The Medieval World, eds. Peter Linehan and Janet Nelson. London, 2001, pp. 93–110. Jackson, Peter. â€Å"Early Missions to the Mongols: Carpini and His Contemporaries.† In Hakluyt Society. Annual report for 1994, pp. 14–32. Stephen Turnbull, 2003. Genghis Khan & the Mongol Conquests, 1190-1400, Routledge            

Functional Area Plan: Human Resources Essay

MegaJava Corporation is a medium-sized manufacturing company with 250 employees. It directly markets one product: a unique coffee cup with a patented ball bearing sliding mechanism. Nathan Jr. and a group of 10 other executives run the company. MegaJava Corporation has received a large sum of money from a venture capitalist. The venture capitalist and Nathan Jr. are predicting 100 percent growth in five years. To achieve that growth, productivity will need to increase at a similar rate. Therefore, this proposal provides a suggested business model update. Further, the functional areas updates are indicated to assist the business model to predict, plan, and implement future growth and profits. MegaJava will need to have a strong and aggressive approach when it comes to Human Resources. Like all companies the employees are the backbone and driving focus to the company’s success. Defined in A Guide for Strengthening HRM Systems (2005) as the use of procedures, policies, and practices to recruit, maintain, and develop employees in order for the organization to meet its desired goals; Human Resources is the backbone of the MegaJava Corporation. The company will also need to budget for the existing positions as well projected positions and workload requirements. The Human Resources department at MegaJava will focus on staffing, profitability, improvement strategies, performance evaluations, and employee relations litigations amongst other things. The challenges MegaJava faces in the future with the current 250 employees and growing will be retention, development and work-life balance. â€Å"The top three in the U.S. were managing talent, improving leadership and managing demographics† Goldsmith, M. (2008). Managing Workforce Flow and Developing Human Capital is two areas that continue to be ongoing issues within the HR field. MegaJava will comply with all Federal, State and Local laws dealing with discrimination based on race, color, gender, religion and handicap. All applicants will be judged on case by case basis and will not be denied a job if they are capable of completing the task regardless of any physical or mental handicaps and in cases where MegaJava will need to give special accommodations within federal guidelines. Compile too all privacy laws dealing with an applicant’s right to privacy and all employees handling personal records and information have to maintain a level of confidentiality. MegaJava will follow all IRS and Immigration laws for all employees and contractors. Benefits are important to all employees sometimes more than. MegaJava will have a benefits package that includes health and dental insurance, retirement plans, life insurance, disability and vacation. Full-Time employees will be offered some mandatory benefits. The company will be required legally to have unemployment and worker’s compensation for all employees because it is federally mandatory. Along with compensation MegaJava will implement programs that will serve as tools to drive productivity and performance while reducing risk within the organization. Recognition programs will boost morale while empowering employees. The site GreatBizTools listed that only 25% of employees work at their full capacity and 50% give the bare minimum. GreatBuzTools. (NA). Future Growth As the demands of the business increase, the company must have sufficient managers to create a workload planner, delegate tasks and supervise employees. MegaJava will comply with all Federal, State and Local laws dealing with discrimination based on al race, color, gender, religion and handicap. The company will maintain high ethical standards of confidentiality when dealing with an applicant’s privacy and all employees handling personal records; complying with all IRS, Immigration & Disability laws for all employees and contractors. MegaJava is predicting to hire an additional 250 employees over the next 5 years. The estimated payroll for the hiring will be over 2.3 million dollars. â€Å"A growing, entrepreneurial company, with variable sales and income, may be better off controlling the levels of base salaries† Heathfield, S. The recommendation will be to hire an estimated 50 employees annually. Reducing the number of management hired every year will give the company the opportunity to develop and promote current employees to the next level. Development is a great recognition tool for any company because most employees will like to feel they are growing along with the success of their company. Defining Roles: Positions and Responsibilities Hourly positions that can be beneficial to the HR team would be an Administrative Assistant which would require 1 to 5 years’ experience, high school diploma or equivalent and a starting salary of 47k annually. The Administrative Assistant will be coordinate support for the organization. Duties for this position includes record keeping, answering the phones, mail distribution, submit work orders and track employee attendance. The employee within this position can be developed and promoted into the HR Specialist and/or Customer Service Representative position  Human Resources Specialist and Human Resources Manager are important position to the recruiting and retaining of employees. Qualifications for a strong HR Specialist and Manager would be 1 to 5 years’ experience directly in the recruiting field, minimum of a Bachelor’s degree and has a starting salary of 52k annually for a HR Specialist and 99k annually for a HR Manager. Both positions recruit, interview, and hire applicants, however the HR Manager focuses more on strategic planning and performance management. Candidates within this role can transition into a Benefits Coordinator or Benefits Manager position. Bureau of Labor Statistics, (2012)  The Compensation and Benefits department is responsible for planning and coordinating how and how much the company pays and the benefits available to the employees. Working within this department employees are required to monitor market conditions while staying updated and within compliance of local, state and federal law with wages and benefits. The department maintains that operations of the business stays within the budget created at the beginning of the fiscal year. Other advancements for employees within this position would be Accounting & Finance.

Portfolio Construction Using Technical and Fundamental Analysis Essay

CHAPTER ONE: INTRODUCTION 1.1 Background of the Organization Smart Equity Brokers Pvt. Ltd. & Smart Commodity Brokers Pvt. Ltd. was established on 1st May 2006 as Smart Equity Brokers Pvt. Ltd., by a young Chartered Accountant, Mr. Arun Khera, supported by Mr. Ravi Raj Jain, both having a rich experience & exposure to capital, derivative & commodity market. The Company acquired the membership of : ïÆ'Ëœ Bombay Stock Exchange [BSE] in 2006 ïÆ'Ëœ National Stock Exchange [NSE] in 2006 ïÆ'Ëœ National Commodity & Derivative Exchange [NCDEX] in 2003 ïÆ'Ëœ Multi Commodity Exchange [MCX] in 2006 ïÆ'Ëœ Derivatives Segment [NSE], Clearing Member in 2006 Smart is a full service brokerage house providing comprehensive advisory services to its clients under one roof, enabling you to manage all your financial needs. We have expertise in advisory services in both cash and derivatives sides of the capital markets. Smart also provides commodity trading through its group subsidiaries, and is a member of the MCX and NCDEX. The services are offered under total confidentiality and integrity with the sole purpose of maximizing returns to our customer base is a mix of institutional, high net worth, and retail investors. This diversified base of customers, together with our wide gamut of services, provides us with the necessary stability and strength to weather the volatility much better than that of the competitors and also maintain high standards of customer service levels throughout. Smart meets the support needs of this investor base through execution skills driven by an experienced sales team and research-backed advice generated by a team of experienced analysts. Smart advisory services range from investing, trading, research, financial planning and portfolio management, which are offered, to a large number of high net worth individuals and corporate. Mission:- To provide research-driven, unbiase d investment advise with the objective of achieving sustainable superior investment returns for our clients. To provide flawless execution support to meet diverse client needs on a platform of professionalism and integrity. Our Values To be fair, empathetic and responsive in serving our customers. To respect and reinforce our fellow employees and the power of teamwork. To strive relentlessly to improve what we do and how we do it. To always earn and be worthy of our customer’s trust. 2 1.2 Introduction of the Study This project is being done to construct portfolio of clients with the help of fundamental and technical analysis. Also analyse their portfolio by valuating those companies where they have already invested using specific valuation model. Then find out whether it is right time to invest in those companies using technical analysis. Also calculating the returns they are getting and suggest for higher return. Fundamental Analysis gives us the idea what to buy or what to sell, while Technical Analysis tells us the timing when to buy or when to sell. In this project I am mainly focusing on how to provide a holistic view to the clients, specifically HNIs (High Net-worth Individuals), on investing in equity market i.e. stock market. The main motive of this research is to check whether fundamental analysis and technical analysis together is useful to provide better suggestion for investments. 1.3 Learning Objectives of the project The  project  undertaken  during  the  period  of  internship  was  Ã¢â‚¬Å"Portfolio  Construction  using  Fundamental  and  Technical  Analysis†. The  learning  objectives  of  the  internship  are  as  follows:- ­Ã¢â‚¬  ïÆ'Ëœ Understanding  the  various  activities  in  a  Broking  Firm ïÆ'Ëœ To  get  acquainted  with  theall  workings  of  online  trading ïÆ'Ëœ To  gain  practical  knowledge  in  share  trading ïÆ'ËœTo  analyze  the  financial  market  &  share  movements  in  order  to  study  of  prospects  of  investing  in  a  particular  stock. ïÆ'Ëœ To  understand  the  working  in  the  derivatives  market. 1.4 Need of the Project Portfolio Construction is all about investing in a range of funds that work together to create an investment solution for investors. Building a portfolio involves understanding the way various types of investments work, and combining them to address your personal investment objectives and factors such as attitude to risk the investment and the expected life of the investment. When building an investment portfolio there are two very important considerations. †¢ The first is asset allocation, which is concerned with how an investment is spread across different asset types and regions. †¢ The second is fund selection, which is concerned with the choice  of fund managers and funds to represent each of the chosen asset classes and sectors. Both of these considerations are important, although academic studies have consistently shown that in the medium to long term, asset allocation usually has a much larger impact on the variability of a portfolio’s return. To help in ch oosing a 3 suitable asset allocation we have created a Risk Profiler that helps identify your attitude to risk and therefore better identify a combination of investments to build a portfolio. With such a vast number of investment funds to choose from, spanning the full range of asset classes and world markets it is easy to become confused when choosing which investments to make. It is even more difficult to choose the right combination of investment to potentially meet your investment goals. The tool, which we use so as to build the portfolio, is technical and fundamental analysis. 1.5 Scope of Project – extent and limitation The study will help the organization to know the present condition of the portfolio construction and expectations of the clients towards portfolio The willingness of the clients and to implement portfolio system which is effective for the clients Limitations of the Study: This project is being done with the help of historical data like annual reports of the company. So, the availability of data is the limitation of this project. Also this project needs a lot of time to analyzing data. As the project is based on secondary data, possibility of unauthorized information cannot be avoided. The report is basically is made between the horizon of three months and the situation of market is very dynamic so the conclusion or the return might not reflect the true picture. 4 CHAPTER TWO: METHODOLOGY 2.1 Research Design The methodologies used for portfolio construction are technical and fundamental analysis. While constructing the portfolio it was kept in mind that it was basically built for investing purpose. 2.2 Data Collection method and instruments All the data, graph and charts are collected from secondary sources. The instruments used are iChart Java application to construct charts and graphs. 2.3 Analysis Techniques and Procedure Fundamental analysis is the foundation of solid investing. It helps you determine the underlying health of a company by examining the business’ core numbers: its income statements, its earnings releases, its balance sheet, and other indicators of economic health. From these â€Å"fundamentals† investors evaluate if a stock is under- or overvalued. Fundamental analysis begins with an individual stock, but it also extends to that company’s larger context. It explores questions like these: Is the company competitive within its industry? Is that industry growing or shrinking, compared to other sectors? Shares of companies with strong fundamentals will tend to go up over time, while fundamentally weak companies will see their stock prices fall. This makes fundamental analysis especially valuable to long-term investors. Fundamental analysis is one school of investing research. It contrasts with another popular approach, technical analysis, which focuses not on business fundamentals but on stock-price action as reflected in charts. Technical analysts look for recognizable patterns in price charts that will help them estimate the stock’s future price movement. Fundamental analysis helps you determine if a company is a good or poor investment choice. Imagine you’re a venture capitalist or a bank, who must decide if that company is worthy of a loan or equity investment. How can you evaluate  whether this particular company deserves your investable capital? Fundamental analysts consider the following in making their decision to invest (or not): ïÆ'Ëœ Is the company making a profit consistently? (While this is naturally the most important question for investors, it’s important to consider the answer in a bigger context. A single profitable quarter for a new company might be a fluke. In the same regard, a drop in profitability for an established blue-chip company might just be a temporary setback.) ïÆ'Ëœ Is that profit growing or declining over time? ïÆ'Ëœ Is the company holding its own relative to the competition? Is it a leader in its sector? Is that sector growing or declining in importance to the overall economy? ïÆ'Ëœ Can the company pay its bills adequately? If you were to dismantle the company’s operations today, what would be the intrinsic value of its assets versus the value of its debts? Fundamental Analysis Tools ïÆ'Ëœ Earnings per Share – EPS ïÆ'Ëœ Price to Earnings Ratio – P/E ïÆ'Ëœ Projected Earning Growth – PEG ïÆ'Ëœ Price to Sales – P/S ïÆ'Ëœ Price to Book – P/B ïÆ'Ëœ Dividend Payout Ratio ïÆ'Ëœ Dividend Yield ïÆ'Ëœ Book Value ïÆ'Ëœ Return on Equity Earnings per Share – EPS The portion of a company’s profit allocated to each outstanding share of common stock. Earnings per share serves as an indicator of a company’s profitability. Calculated as: 5 When calculating, it is more accurate to use a weighted average number of shares outstanding over the reporting term, because the number of shares outstanding can change over time. However, data sources sometimes simplify the calculation by using the number of shares outstanding at the end of the period. Diluted EPS expands on basic EPS by including the shares of convertibles or warrants outstanding in the outstanding shares number. Price to Earnings Ratio – P/E Price/Earnings or P/E ratio is the ratio of a company’s share price to its earnings per share. It tells whether the share price of a company is fairly valued, undervalued or overvalued. Formula P/E Ratio = Current Share Price Earnings per Share Current share price is obtained from secondary markets like BSE, NSE, etc. while EPS is calculated as (net income minus preferred dividends)/weighted average number of shares outstanding. Leading and Trailing P/E Ratio If the EPS is the figure for the current period the P/E ratio is called trailing P/E ratio. For better analysis the EPS should be the one expected to prevail in the next reporting period, say next year. P/E ratio calculated based on expected P/E ratio is called leading P/E and is a more meaningful estimate of the company’s justified P/E ratio. Analysis If the justified P/E calculated using dividend discount analysis is higher than the current P/E ratio the share is undervalued and should be purchased. If the justified P/E is lower than P/E ratio the share is overvalued and should be sold. Projected Earning Growth – PEG 6 A stock’s price to earnings ratio divided by the growth rate of its earnings for a specified time period. The price/earnings to growth (PEG) ratio is used to determine a stock’s value while taking the company’s earnings growth into account, and is considered to provide a more complete picture than the P/E ratio. While a high P/E ratio may make a stock look like a good buy, factoring in the company’s growth rate to get the stock’s PEG ratio can tell a different story. The lower the PEG ratio, the more the stock may be undervalued given its earnings performance. The calculation is as follows: (P/E ratio)/Annual EPS Growth Price to Sales – P/S Investors are always seeking ways to compare the value of stocks. The price-to-sales ratio(Price/Sales or P/S) provides a simple approach: take the company’s market capitalization (the number of shares multiplied by the share price) and divide it by the company’s total sales over the past 12 months. The lower the ratio, the more attractive the investment. As easy as it sounds, price-to-sales provides a useful measure for sizing up stocks. But investors need to be mindful of the ratio’s potential pitfalls and possible unreliability. Dividend Payout Ratio Dividend payout ratio is the ratio of dividend per share divided by earnings per share. It is a measure of how much earnings a company is paying out to its shareholders as compared to how much it is retaining for reinvestment. Formula Dividend Payout Ratio = Dividend per Share Earnings per Share Dividend payout ratio can also be calculated as total dividends divided by net income. Analysis A shareholder has two sources of return, namely periodic income in the form of dividends and capital appreciation. Dividend payout ratio tells what percentage of total earnings the company is paying back to shareholders. A healthy dividend payout ratio leads to investor confidence in the company. Plowback ratio (also called retention rate) is equals 1 − payout ratio and it equals the earnings retained divided by total earnings for the period. 7 Book Value 1. The value at which an asset is carried on a balance sheet. To calculate, take the cost of an asset minus the accumulated depreciation. 2. The net asset value of a company, calculated by total assets minus intangible assets (patents, goodwill) and liabilities. 3. The initial outlay for an investment. This number may be net or gross of expenses such as trading costs, sales taxes, service charges and so on. Also known as â€Å"net book value (NBV).† Return on Equity Return on equity or return on capital is the ratio of net income of a business during a year to its stockholders’ equity during that year. It is a measure of profitability of stockholders’ investments. It shows net income as percentage of shareholder equity. Formula The formula to calculate return on equity is: ROE = Annual Net Income Average Stockholders’ Equity Net income is the after tax income whereas average shareholders’ equity is calculated by dividing the sum of shareholders’ equity at the beginning and at the end of the year by 2. The net income figure is obtained from income statement and the shareholders’ equity is found on balance sheet. You will need year ending balance sheets of two consecutive financial years to find average shareholders’ equity. Analysis Return on equity is an important measure of the profitability of a company. Higher values are generally favorable meaning that the company is efficient in generating income on new investment. Investors should compare the ROE of different companies and also check the trend in ROE over time. However, relying solely on ROE for investment decisions is not safe. It can be artificially influenced by the management, for example, when debt financing is used to reduce share capital there will be an increase in ROE even if income remains constant. Technical Analysis can be defined as an art and science of forecasting future prices based on an examination of the past price movements. Technical analysis is not astrology for predicting prices. Technical analysis is based on analyzing current demand-supply of commodities, stocks, indices, futures or any tradable instrument. Technical analysis involve putting stock information like prices, volumes and open interest on a chart and applying various patterns and indicators to it in order to assess the future price movements. The time frame in which technical analysis is applied may range from intraday (1-minute, 5-minutes, 10-minutes, 15-minutes, 30-minutes or hourly), daily, weekly or monthly price data to many years. There are essentially two methods of analyzing investment opportunities in the security market viz fundamental analysis and technical analysis. You can use fundamental information like financial and non-financial aspects of the company or technical information which ign ores fundamentals and focuses on actual price movements. The basis of Technical Analysis What makes Technical Analysis an effective tool to analyze price behavior is explained by following theories given by Charles Dow: †¢ Price discounts everything †¢ Price movements are not totally random †¢ What is more important than why CANDLE CHARTS What is a chart? Charts are the working tools of technical  analysts. They use charts to plot the price movements of a stock over specific time frames. It’s a graphical method of showing where stock prices have been in the past. 8 A chart gives us a complete picture of a stock’s price history over a period of an hour, day, week, month or many years. It has an x-axis (horizontal) and a y-axis (vertical). Typically, the x-axis represents time; the y-axis represents price. By plotting a stock’s price over a period of time, we end up with a pictorial representation of any stock’s trading history. A chart can also depict the history of the volume of trading in a stock. That is, a chart can illustrate the number of shares that change hands over a certain time period. Candlesticks Formation Candlestick charts provide visual insight to current market psychology. A candlestick displays the open, high, low, and closing prices in a format similar to a modern-day bar-chart, but in a manner that extenuates the relationship between the opening and closing prices. Candlesticks don’t involve any calculations. Each candlestick represents one period (e.g., day) of data. The figure given below display s the elements of a candle. 9 , A candlestick chart can be created using the data of high, low, open and closing prices for each time period that you want to display. The hollow or filled portion of the candlestick is called â€Å"the body† (also referred to as â€Å"the real body†). The long thin lines above and below the body represent the high/low range and are called â€Å"shadows† (also referred to as â€Å"wicks† and â€Å"tails†). The high is marked by the top of the upper shadow and the low by the bottom of the lower shadow. If the stock closes higher than its opening  price, a hollow candlestick is drawn with the bottom of the body representing the opening price and the top of the body representing the closing price. If the stock closes lower than its opening price, a filled candlestick is drawn with the top of the body representing the opening price and the bottom of the body representing the closing price. Each candlestick provides an easy-to-decipher picture of price action. Immediately a trader can see and compare the relationship between the open and close as well as the high and low. The relationship between the open and close is considered vital information and forms the essence of candlesticks. Hollow candlesticks, where the close is greater than the open, indicate buying pressure. Filled candlesticks, where the close is less than the open, indicate selling pressure. Thus, compared to traditional bar charts, many traders consider candlestick charts more visually appealing and easier to interpret. 10 Why candlestick charts? NIFTY (Daily) Candlestick Chart What does candlestick charting offer that typical Western high-low bar charts do not? Instead of vertical line having horizontal ticks to identify open and close, candlesticks represent two-dimensional bodies to depict open to close range and shadows to mark day’s high and low. For several years, the Japanese traders have been using candlestick charts to track market activity. Eastern analysts have identified a number of patterns to determine the continuation and reversal of trend. These patterns are the basis for Japanese candlestick chart analysis. This places candlesticks rightly as a part of technical analysis. Japanese candlesticks offer a quick picture into the psychology of short term trading, studying the effect, not the cause. Applying candlesticks means that for short-term, an investor can make confident decisions about buying, selling, or holding an investment. Candlestick analysis One cannot ignore that investor’s psychologically driven forces of  fear; greed and hope greatly influence the stock prices. The overall market psychology can be tracked through candlestick analysis. More than just a method of pattern recognition, candlestick analysis shows the interaction between buyers and sellers. A white candlestick indicates opening price of the session being below the closing price; and a black candlestick shows opening price of the session being above the closing price. The shadow at top and bottom indicates the high and low for the session. 11 Japanese candlesticks offer a quick picture into the psychology of short term trading, studying the effect, not the cause. Therefore if you combine candlestick analysis with other technical analysis tools, candlestick pattern analysis can be a very useful way to select entry and exit points. One candle patterns In the terminology of Japanese candlesticks, one candle patterns are known as â€Å"Umbrella lines†. There are two types of umbrella lines – the hanging man and the hammer. They have long lower shadows and small real bodies that are at top of the trading range for the session. They are the simplest lines because they do not necessarily have to be spotted in combination with other candles to have some validity. Hammer and Hanging Man Hammer Hanging Man Candlesticks Hammer Hammer is a one-candle pattern that occurs in a downtrend when bulls make a start to step into the rally. It is so named because it hammers out the bottom. The lower shadow of hammer is minimum of twice the length of body. Although, the color of the body is not of much significance but a white candle shows slightly more bullish implications than the black body. A positive day i.e. a white candle is required the next day to confirm this signal. Criteria †¢ The lower shadow should be at least two times the length of the body. †¢ There should be no upper shadow or a very small upper shadow. †¢ The real body is at the upper end of the trading range. The color of the body is not important although a white body should have slightly more bullish implications. †¢ The following  day needs to confirm the Hammer signal with a strong bullish day. Signal enhancements 1. The longer the lower shadow, the higher the potential of a reversal occurring. 2. Large volume on the Hammer day increases the chances that a blow off day has occurred. 3. A gap down from the previous day’s close sets up for a stronger reversal move provided the day after the Hammer signal opens higher. Pattern psychology 12 The market has been in a downtrend, so there is an air of bearishness. The price opens and starts to trade lower. However the sell-off is abated and market returns to high for the day as the bulls have stepped in. They start bringing the price back up towards the top of the trading range. This creates a small body with a large lower shadow. This represents that the bears could not maintain control. The long lower shadow now has the bears questioning whether the decline is still intact. Confirmation would be a higher open with yet a still higher close on the next trading day. Hanging man The hanging man appears during an uptrend, and its real body can be either black or white. While it signifies a potential top reversal, it requires confirmation during the next trading session. The hanging man usually has little or no upper shadow. Soybean Oil-December, 1990, Daily (Hanging Man and Hammer) 13 Dow Jones Industrials-1990, Daily (Hanging Man and Hammer) Shooting star and  inverted hammer Other candles similar to the hanging man and hammer are the â€Å"shooting star,† and the â€Å"inverted hammer.† Both have small real bodies and can be either black or white but they both have long upper shadows, and have very little or no lower shadows. Inverted Hammer Description Inverted hammer is one candle pattern with a shadow at least two times greater than the body. The small body identifies this pattern. They are found at the bottom of the decline which is evidence that bulls are stepping in but still selling is going on. The color of the small body is not important but the white body has more bullish indications than a black body. A positive day is required the following day to confirm this signal. Signal enhancements 1. The longer the upper shadow, the higher the potential of a reversal occurring. 2. A gap down from the previous day’s close sets up for a stronger reversal move. 14 3. Large volume on the day of the inverted hammer signal increases the chances that a blow off day has occurred 4. The day after the inverted hammer signal opens higher. Pattern psychology After a downtrend has been in effect, the atmosphere is bearish. The price opens and starts to trade higher. The Bulls have stepped in, but they cannot maintain the strength. The existing sellers knock the price back down to the lower end of the trading range. The Bears are still in control. But the next day, the Bulls step in and take the price back up without major resistance from the Bears. If the price maintains strong after the Inverted Hammer day, the signal is confirmed. Stars A small real body that gaps away from the large real body preceding it is known as star. It’s still a star as long as the small real body does not overlap the preceding real body. The color of the star is not important. Stars can occur at tops or bottoms. Shooting star Description The Shooting Star is a single l ine pattern that indicates an end to the uptrend. It is easily identified by the presence of a small body with a shadow at least two times greater than the body. It is found at the top of an uptrend. The Japanese named this pattern because it looks like a shooting star falling from the sky with the tail trailing it. Criteria 1. The upper shadow should be at least two times the length of the body. 2. Prices gap open after an uptrend. 15 3. A small real body is formed near the lower part of the price range. The color of the body is not important although a black body should have slightly more bearish implications. 4. The lower shadow is virtually non-existent. 5. The following day needs to confirm the Shooting Star signal with a black candle or better yet, a gap down with a lower close. Signal enhancements 1. The longer the upper shadow, the higher the potential of a reversal occurring. 2. A gap up from the previous day’s close sets up for a stronger reversal move provided. 3. The day after the Shooting Star signal opens lower. 4. Large volume on the Shooting Star day increases the chances that a blow-off day has occurred although it is not a necessity. Pattern psychology During an uptrend, the market gaps open and rallies to a new high. The price opens and trades higher. The bulls are in control. But before the close of the day, the bears step in and take the price back down to the lower end of the trading ra nge, creating a small body for the day. 25 This could indicate that the bulls still have control if analyzing a Western bar chart. 16 However, the long upper shadow represents that sellers had started stepping in at these levels. Even though the bulls may have been able to keep the price positive by the end of the day, the evidence of the selling was apparent. A lower open or a black candle the next day reinforces the fact that selling is going on. Two candles pattern Bullish engulfing A â€Å"bullish engulfing pattern† consists of a large white real body that engulfs a small black real body during a downtrend. It signifies that the buyers are overwhelming the sellers Engulfing Bullish engulfing Description The Engulfing pattern is a major reversal pattern comprised of two opposite colored bodies. This Bullish Pattern is formed after a downtrend. It is formed when a large 17 white candlestick that completely eclipses the previous day candlestick follows a small black candlestick. It opens lower that the previous day’s close and closes higher than the previous day’s open. Criteria 1. The candlestick body of the previous day is completely overshadowed by the next day’s candlestick. 2. Prices have been declining definitely, even if it has been in short term. 3. The color of the first candle is similar to that of the previous one and the body of the second candle is opposite in color to that first candle. The only exception being an engulfed body which is a doji. Signal enhancements 1. A small body being covered by the larger one. The previous day shows the trend was running out of steam. The large body shows that the new direction has started with good force. 2. Large volume on  the engulfing day increases the chances that a blow off day has occurred. 3. The engulfing body engulfs absorbs the body and the shadows of the previous day; the reversal has a greater probability of working. 4. The probability of a strong reversal increases as the open gaps between the previous and the current day increases. Pattern psychology After a decline has taken place, the price opens at a lower level than its previous day closing price. Before the close of the day, the buyers have taken over and have led to an increase in the price above the opening price of the previous day. The emotional psychology of the trend has now been altered. When investors are learning the stock market they should utilize information that has worked with high probability in the p ast. Bullish Engulfing signal if used after proper training and at proper locations, can lead to highly profitable trades and consistent results. This pattern allows an investor to improve their probabilities of been in a correct trade. The common sense elements conveyed in candlestick signals makes for a clear and concise trading technique for beginning investors as well as experienced traders. Bearish engulfing A â€Å"bearish engulfing pattern,† on the other hand, occurs when the sellers are overwhelming the buyers. This pattern consists of a small white candlestick with short shadows or tails followed by a large black candlestick that eclipses or â€Å"engulfs† the small white one. Bearish Engulfing 18 19 Piercing The bullish counterpart to the dark cloud cover is the â€Å"piercing pattern.† The first thing to look for is to spot the piercing pattern in an  existing downtrend, which consists of a long black candlestick followed by a gap lower open during the next session, but which closes at least halfway into the prior black candlestick’s real body. Description The Piercing Pattern is composed of a two-candle formation in a down trending market. With daily candles, the piercing pattern will often end a minor downtrend (a downtrend that lasts between six and fifteen trading days). The day before the piercing candle appears, the daily candle should have a fairly large dark real body, signifying a strong down day. Criteria 1. The downtrend has been evident for a good period. 2. The body of the first candle is black; the body of the second candle is white. 3. A long black candle occurs at the end of the trend. 4. The white candle closes more than halfway up the black candle. 5. The second day opens lower than the trading of the prior day. Signal enhancements 1. The reversal will be more pronounced, if the gap down the previous day close is more. 2. The longer the black candle and the white candle, the more forceful the reversal. 3. The higher the white candle closes into the black candle, the stronger the reversal. 4. Large volume during these two trading days is a significant confirmation. Pattern psychology 20 The atmosphere becomes bearish once a strong downtrend has been in effect. The price goes down. Bears may move the price even further but before the day ends the bulls enters and bring a dramatic change in price in the opposite direction. They finish near the high of the day. The move has almost negated the price decline of the previous day. This now has the bears concerned. More buying the next day will confirm the move. Being able to utilize information that has been used successfully in the past is a much more viable investment strategy than taking shots in the dark. Keep in mind, when you are given privileged information about stock market tips, where you  are in the food chain. Are you one of those privileged few that get top-notch pertinent information on a timely manner, or are you one of the masses that feed into a frenzy and allow the smart money to make the profits? Bearish Harami In up trends, the harami consists of a large white candle followed by a small white or black candle (usually black) that is within the previous session’s large real body. Description Bearish Harami is a two candlestick pattern composed of small black real body contained within a prior relatively long white real body. The body of the first candle is the same color as that of the current trend. The open and the close occur inside the open and the close of the previous day. Its presence indicates that the trend is over. Criteria 1. The first candle is white in color; the body of the second candle is black. 2. The second day opens lower than the close of the previous day and closes higher than the open of the prior day. 3. For a reversal signal, confirmation is needed. The next day should show weakness. 4. The uptrend has been apparent. A long white candle occurs at the end of the trend. Signal enhancements 1. The reversal will be more forceful, if the white and the black candle are longer. 2. The lower the black candle closes down on the white candle, the more convincing that a reversal has occurred, despite the size of the black candle. Pattern psychology 21 The bears open the price lower than the previous close, after a strong uptrend has been in effect and after a long white candle day. The longs get concerned and start profit taking. The price for the day ends at a lower level. The bulls are now concerned as the price closes lower. It is becoming evident that the trend has been violated. A weak day after that would convince everybody that the trend was reversing. Volume increases due to the profit taking and the addition of short sales. Bullish Harami A candlestick chart pattern in which a large candlestick is followed by a smaller candlestick whose body is located within the vertical range of the larger body. In downtrends, the harami consists of a large black candle followed by a small white or black candle (usually white) that is within the previous session’s large real body. This pattern signifies that the immediately preceding trend may be concluding, and that the bulls and bears have called a truce. Description The Harami is a commonly observed phenomenon. The pattern is composed of a two candle formation in a down-trending market. The color first candle is the same as that of current trend. The first body in the pattern is longer than the second one. The open and the close occur inside the open and the close of the previous day. Its presence indicates that the trend is over. 22 The Harami (meaning â€Å"pregnant† in Japanese) Candlestick Pattern is a reversal pattern. The pattern consists of two Candlesticks. The first candle is black in color and a continuation of the existing trend. The second candle, the little belly sticking out, is usually white in color but that is not always the case. Magnitude of the reversal is affected by the location and size of the candles. Criteria 1. The first candle is black in body; the body of the second candle is white. 2. The downtrend has been evident for a good period. A long black candle occurs at the end of the trend. 3. The second day opens higher than the close of the previous day and closes lower than the open of the prior day. 4. Unlike the Western â€Å"Inside Day†, just the body needs to remain in the previous day’s body, where as the â€Å"Inside Day† requires both the body and the shadows to remain inside the previous day’s body. 5. For a reversal signal, further confirmation is required to indicate that the trend  is now moving up. Signal enhancements 1. The reversal will be more forceful if the black candle and the white candle are longer. 2. If the white candle closes up on the black candle then the reversal has occurred in a convincing manner despite the size of the white candle. Pattern psychology After a strong down-trend has been in effect and after a selling day, the bulls open at a price higher than the previous close. The short’s get concerned and start covering. The price for the day finishes at a higher level. This gives enough notice to the short sellers that trend has been violated. A strong day i.e. the next day would convince everybody that the trend was reversing. Usually the volume is above the recent norm due to the unwinding of short positions. When the second candle is a doji, which is a candle with an almost non-existent real body, these patterns are called â€Å"harami crosses.† They are however less reliable as reversal patterns as more indecision is indicated. 23 Doji Doji lines are patterns with the same open and close price. It’s a significant reversal indicator. The Importance of the Doji The perfect doji session has the same opening and closing price, yet there is some flexibility to this rule. If the opening and closing price are within a few ticks of each other, the line could still be viewed as a doji. How do you decide whether a near-doji day (that is, where the open and close are very close, but not exact) should be considered a doji? This is subjective and there are no rigid rules but one way is to look at a near-doji day in relation to recent action. If there are a series of very small real bodies, the near-doji day would not be viewed as significant since so many other recent periods had small real bodies. One technique is based on recent market activity. If the market is at an important market junction, or is at the mature part of a bull or bear move,  or there are other technical signals sending out an alert, the appearance of a near-doji is treated as a doji. The philosophy is that a doji can be a significant warning and that it is better to attend to a false warning than to ignore a real one. To ignore a doji, with all its inherent implications, could be dangerous. The doji is a distinct trend change signal. However, the likelihood of a reversal increases if subsequent candlesticks confirm the doji’s reversal potential. Doji 24 sessions are important only in markets where there are not many doji. If there are many doji on a particular chart, one should not view the emergence of a new doji in that particular market as a meaningful development. That is why candlestick analysis usually should not use intra-day charts of less than 30 minutes. Less than 30 minutes and many of the candlestick lines become doji or near doji Doji at tops A Doji star at the top is a warning that the uptrend is about to change. This is especially true after a long white candlestick in an uptrend. The reason for the doji’s negative implications in uptrend is because a doji represents indecision. Indecision among bulls will not maintain the uptrend. It takes the conviction of buyers to sustain a rally. If the market has had an extended rally, or is overbought, then formation of a doji could mean the scaffolding of buyers’ support will give way. Doji are also valued for their ability to show reversal potential in downtrend s. The reason may be that a doji reflects a balance between buying and selling forces. With ambivalent market participants, the market could fall due to its own weight. Thus, an uptrend should reverse but a falling market may continue its descent. Because of this, doji need more confirmation to signal a bottom than they do a top. What are support and resistance lines? Support and resistance represent key junctures where the forces of supply and demand meet. These lines appear as thresholds to price patterns. They are the respective lines which stops the  prices from decreasing or increasing. A support line refers to that level beyond which a stock’s price will not fall. It denotes that price level at which there is a sufficient amount of demand to stop and possibly, for a time, turn a downtrend higher. Similarly a resistance line refers to that line beyond which a stock’s price will not increase. It indicates that price level at which a sufficient supply of stock is available to stop and possibly, for a time, head off an uptrend in prices. Trend lines are often referred to as support and resistance lines on an angle. Support A support is a horizontal floor where interest in buying a commodity is strong enough to overcome the pressure to sell. Support level is the price level at which sufficient demand exists to, at least temporarily, halt a downward movement in prices. Logically as the price declines towards support and gets cheaper, buyers become more inclined to buy and sellers become less inclined to sell. By the time the price reaches the support level, it is believed that demand will overcome supply and prevent the price from falling below support. 25 Support does not always hold true and a break below support signals that the bulls have lost over the bears. A fall below support level indicates more willingness to sell and a lack of willingness to buy. A break in the levels of support indicates that the expectations of sellers are reducing and they are ready to sell at even lower prices. In addition, buyers could not be coerced into buying until prices declined below support or below the previous low. Once support is broken, another support level will have to be established at a lower level ITC showing support and resistance Resistance 26 A resistance is a horizontal ceiling where the pressure to sell is greater than the pressure to buy. Thus a Resistance level is a price at which sufficient supply exists to; at least temporarily, halt an upward movement. Logically as the price advances towards resistance, sellers become more inclined to sell and buyers become less inclined to buy. By the time the price reaches the resistance level, it is believed that supply will overcome demand and prevent the price from rising above resistance. Resistance does not always hold true and a break above resistance signals that the bears have lost over the bulls. A break in the resistance level shows more willingness to buy or lack of incentive to sell. Resistance breaks and new highs indicate that buyer’s expectations have increased and are ready to buy at even higher prices. In addition, sellers could not be coerced into selling until prices rose above resistance or above the previous high. Once resistance is broken, another resistance level will have to be established at a higher level. What Does a Technical indicator offer? Technical analysts use indicators to look into a different perspective from which stock prices can be analyzed. Technical indicators provide unique outlook on the strength and direction of the underlying price action for a given timeframe. Why use indicators? Technical Indicators broadly serve three functions: to alert, to confirm and to predict. Indicator acts as an alert to study price action, sometimes it also gives a signal to watch for a break of support. A large positive divergence can act as an alert to watch for a resistance breakout. Indicators can be used to confirm other technical analysis tools. Some investors and traders use indicators to predict the direction of future prices. Tips for using indicators There are a large number of Technical Indicators that can be used to assist you in selection of stocks and in tracking the right entry and exit points. In short, indicators indicate. But it doesn’t mean that traders should ignore the price action of a stock and focus solely on the indicator. Indicators just filter price action with formulas. As such, they are derivatives and not direct reflections of the price action. While applying the indicators, the analyst should consider:  What is the indicator saying about the price action of a security? Is the price action getting stronger? Is it getting weaker? The buy and sell signals generated by the indicators, should be read in context with other technical analysis tools like candlesticks, trends, patterns etc. For example, an indicator may flash a buy signal, but if the chart pattern shows a descending triangle with a series of declining peaks, it may be a false signal. An indicator should be selected with due care and attention. It would be a futile exercise to cover more than five indicators. It is best to focus on two or three 27 indicators and learn their intricacies inside and out. One should always choose indicators that complement each other, instead of those that move in unison and generate the same signals. For example, it would be redundant to use two indicators that are good for showing overbought and oversold levels, such as Stochastic and RSI. Both of these indicators measure momentum and both have overbought/oversold levels. Types of indicators Indicators can broadly be divided into two types â€Å"LEADING† and â€Å"LAGGING†. Leading indicators Leading indicators are designed to lead price movements. Benefits of leading indicators are early signaling for entry and exit, generating more signals and allow more opportunities to trade. They represent a form of price momentum over a fixed look-back period, which is the number of periods used to calculate the indicator. Some of the wellmore popular leading indicators include Commodity Channel Index (CCI), Momentum, Relative Strength Index (RSI), Stochastic Oscillator and Williams %R. Lagging Indicators Lagging Indicators are the indicators that would follow a trend rather then predicting a reversal. A lagging indicator follows an event. These indicators work well when prices move in relatively long trends. They don’t warn you of upcoming changes in prices, they simply tell you what prices are doing (i.e., rising or falling) so that you can invest  accordingly. These trend following indicators makes you buy and sell late and, in exchange for missing the early opportunities, they greatly reduce your risk by keeping you on the right side of the market. Moving averages and the MACD are examples of trend following, or â€Å"lagging,† indicators. Oscillators Relative Strength Index (RSI) The RSI is part of a class of indicators called momentum oscillators. There are a number of indicators that fall in this category, the most common being Relative Strength Index, Stochastic, Rate of Change, Williams %R. Although these indicators are all calculated differently, there are a number of common elements to their use which shall be discussed in the context of the RSI. What is momentum? Momentum is simply the rate of change – the speed or slope at which a stock or commodity ascends or declines. Measuring speed is a useful gage of impending change. For example, assume that you were riding in a friends’ car, not looking at what was happening ahead but instead just at the speedometer. You can see when the car starts to slow down and if it continues to do so you can reasonably assume it’s going to stop very shortly. You may not know the reason for it coming to a stop†¦it 28 could be the end of the journey, approaching and intersection or because the road is a little rougher ahead. In this manner watching the speed provides a guide for what may happen in the future. An oscillator is an indicator that moves back and forth across a reference line or between prescribed upper and lower limits. When an oscillator reaches a new high, it shows that an uptrend is gaining speed and is likely to continue. When an oscillator traces a lower peak, it means that the trend has stopped accelerating and a reversal can be expected from there, much like a car slowing down to make a U-Turn. In the same way watching a stock for impending momentum change can provide a glimpse of what may happen in the future – momentum oscillators, such as RSI are referred to as trend leading indicators. The chart below illustrates the typical construction of the RSI which oscillates between 0% and 100%. You will notice there is a pair of horizontal reference lines: 70% ‘overbought’ and 30% ‘oversold’ lines. The overbought region refers to the case where the RSI oscillator has moved into a region of significant buying pressure relative to the recent past and is often an indication that an upward trend is about to end. Similarly the oversold region refers to the lower part of the momentum oscillator where there is a significant amount of selling pressure relative to the recent past and is indicative of an end to a down swing. Application of RSI RSI is a momentum oscillator generally used in sideways or ranging markets where the price moves between support and resistance levels. It is one of the most useful technical tool employed by many traders to measure the velocity of directional price movement. Overbought and Oversold The RSI is a price-following oscillator that ranges between 0 and 100. Generally, technical analysts use 30% oversold and 70% overbought lines to generate the buy and sell signals. ïÆ'Ëœ Go long when the indicator moves from below to above the oversold line. ïÆ'Ëœ Go short when the indicator moves from above to below the overbought line. Note here that the direction of crossing is important; the indicator needs to first go past the overbought/oversold lines and then cross back through them. 29 Silver Chart showing buy and sell points and also the failure in trending market What is the MACD and how is it calculated? The MACD does not completely fall into either the trend-leading indicator or trend following indicator; it is in fact a hybrid with elements of both. The MACD comprises two lines, the fast line and the slow or signal line. These are easy to identify as the slow line will be the smoother of the two. NIFTY chart below illustrates the basic MACD lines The procedure for calculating the MACD lines is as follows: Step1. Calculate a 12 period exponential moving average of the close price. Step2. Calculate a 26 period exponential moving average of the close price. Step3. Subtract the 26 period moving average from the 12 period moving average. This is the fast MACD line. Step4. Calculate a 9 period exponential moving average of the fast MACD line calculated above. This is the slow or signal MACD line. Sampling Plan The companies are selected from top 50 blue chip companies, and then fundamental analysis is done and then the technical analysis Limitations As we know that equity market is highly unpredictable and its really hard to predict the future trend of the equity so all the analysis that is done just gives the high probability of the trend that is going to happen, it does not give any surety. 30 CHAPTER 3: FINDINGS AND ANALYSIS 3.1 Findings Fundamental Analysis 31 Technical Analysis SBI SBI-I 32 SBI –II Chart SBI-I shows different support and resistance level for last two years. Chart SBI-II shows the morning star which is encircled. 33 JINDAL STEEL The above chart shows inverted hammer with DOJI. 34 VOLTAS The above chart shows two inverted hammer. 35 BHEL The above chart shows inverted hammer with bullish candle. 36 HPCL The above chart shows DOJI. 37 3.2 Analysis Fundamental Analysis As we have analyzed from the list of companies on basis of fundamental grounds. It tells us the company on which we should invest. The companies are:- SBI 38 From the above figures one can come to following conclusion:ïÆ' ¼ As a company should have high EPS and so is the case with SBI whose EPS is 256.11 ïÆ' ¼ Its P/E ratio is relatively lesser than other companies ïÆ' ¼ Positive PEG is a good sign. ïÆ' ¼ P/B is less than 1 which says it is undervalued so its high time to buy shares of this company. ïÆ' ¼ And on other grounds it has fair figures. BHEL From the above figures one can come to following conclusion:ïÆ' ¼ EPS is relatively high as compared to its per share price. ïÆ' ¼ Low P/E and P/S ratio which is always good. ïÆ' ¼ Good dividend payout ratio, dividend and return on equity. HPCL From the above figures one can come to following conclusion:ïÆ' ¼ EPS is relatively high as compared to its per share price. ïÆ' ¼ Its P/E ratio is relatively lesser than other companies ïÆ' ¼ P/B value is lesser which gives a clear indication that the prices will rise in future. ïÆ' ¼ Dividend is relatively higher. Technical analysis On the basis of technical analysis one can come to the following conclusion:SBI From the chart SBI-II its seen that there is formation of morning star which is a sign of trend reversal. And from here it is expected that it will go bullish. We can also see that RSI is in upward direction which indicates that it will go bullish and even MACD is in favor of bullish nature. So it is very strongly recommended that one should invest in this share and should hold as long as there is a sign of trend reversal. JINDAL STEEL As from the chart we have seen that inverted hammer has occurred long before followed by bullish candle which was the sign of buying but not it has reached to such a level at which it can reverse anytime. The RSI is also high and MACD can anytime go for selling indication. 39 VOLTAS From the chart of Voltas it is very clearly indicated that there are two inverted hammer and the hammer is followed by a green candle and thus we can say it has taken the bullish trend. We can also see that RSI is in upward direction which indicates that it will go bullish and even MACD is in favor of bullish nature. So it is very strongly recommended that one should invest in this share and should hold as long as there is a sign of trend reversal. BHEL From the chart of Bhel it is very clearly indicated that there is a inverted hammer followed by a green candle and thus we can say it  has taken the bullish trend. We can also see that RSI is in upward direction which indicates that it will go bullish and even MACD is in favor of bullish nature. So it is very strongly recommended that one should invest in this share and should hold as long as there is a sign of trend reversal. HPCL From the chart of HPCL there is formation of a DOJI candle which is one of the strongest sign o f trend reversal and for bullish trend to come in. We can also see that RSI is in upward direction which indicates that it will go bullish and even MACD is in favor of bullish nature. So it is very strongly recommended that one should invest in this share and should hold as long as there is a sign of trend reversal 40 CHAPTER FOUR: CONCLUSIONS AND RECOMMENDATIONS 4.1 SUMMARY This project is being done to construct portfolio of clients with the help of fundamental and technical analysis. Also analyze their portfolio by valuating those companies where they have already invested using specific valuation model. Then find out whether it is right time to invest in those companies using technical analysis. Also calculating the returns they are getting and suggest for higher return. As we can see we have come up with certain companies which have strong possibilities to do well. The different tools and indicators play a very vital role in analyzing the companies as well as forecasting their price behavior. 4.2 RECOMMENDATIONS AND CONCLUSION Recommendations The final portfolio that I came up with is 1. SBI 2. JINDAL STEEL 3. VOLTAS 4. BHEL 5. HPCL Conclusion In this project we have found out that both the analysis fundamental and  technical analysis can be used for the same purpose as to build a portfolio but they and completely different. One should not try to relate these two analysis with each other as it could lead to blunder. Both of the analysis are independent of each other. Both the analysis just gives a possibility that which option one should go for in case one wants to invest. It doesn’t confirms the result as they are just expected result.

Most effective CIO strategy for effective strategic IT planning Research Paper

Most effective CIO strategy for effective strategic IT planning - Research Paper Example This is because different countries world wide have their various policies which may affect the organization’s strategic objectives. Security of international operations and the organization’s planned information is another problem of creating an organization’s information technology plan. This is because the process involves the organizations infrastructure and its quality of information. Moreover in the world where technology is almost interconnected there is a probability of the organization to interfere with or illegitimately fake other organizations objectives as suggested by Schwalbe (2009). However the organization’s strategic objectives can also be interfered with due to the insecurity of information technology resulting from the connectedness. The cost of using information technology as well as the balance sheet implication has been a problem in developing an organizations information technology plan for its strategic objectives. This can be attributed to the fact that creating such a plan may need the organization to employ IT professionals or offer more training to its experts. This is costly as might not be within the organizations budget plan. As a result the organization ends up suffering more expenses which affect its operation as they are planned. The organization may also face the problem of integrating new technology with existing technology in data collection in order to create the information technology plan. This is due to the increasing web based applications, imaging systems, cellular and mobile phones, and electronic filing among others. The organization’s Information technology experts may not be familiar with the new technology hence end up developing a substandard IT Plan. The environment of the organization may not be conducive for developing an information technology plan for some

Article Summary ( Financial Planning and Accounting) Essay

Article Summary ( Financial Planning and Accounting) - Essay Example The accountant is the major channel through which quantitative information flows to management† (Lynch & Williamson, 1976, 6). The essay aims to address the following questions after a review of three articles on the subject of finance, accounting or ethical standards, to wit: (1) discuss the key differences in accounting and finance; (2) discuss the types of reports accounting and finance personnel generate and the purpose of the reports; and (3) compare and contrast the types of business decisions that can be made using accounting and finance information. Key Differences in Accounting and Finance Dr. Castro of LeTourneau University briefly presented the differences in accounting and finance by examining their primary functions. Accordingly, accounting is focused on the development and generation of data that measure the accurate quantitative performance of an organization, evaluating its financial status, and to compute for the taxes the firm has to pay.

Probation and Parole vs. Incarceration - Cost Comparison Essay

Probation and Parole vs. Incarceration - Cost Comparison - Essay Example This may be due to some reasons which, for instance, may include some probationers may have committed a minimal offense which is not severe (Bureau of Justice Statistics, 2015). Parole on the other hand, refers to law offenders who are conditionally released from prison to serve the remaining term of their sentence in the community. The offenders may be released by a parole board decision (Bureau of Justice Statistics, 2015). According to the research done in 2008, the mean cost of incarceration was over $23,000 per inmate in the United States. The correctional spending by local and state governments was approximated to have been 52 billion dollars. These costs arose upon conviction and subsequent imprisonment for parole prisoners. 35 percent of the 1.4 million convicts imprisoned in the jails and state prisons are imprisoned for parole violations. This was according to the department of justice in the United States (Criminal Justice Section, 2012). Increase in prison population has grown enormously leading to sanction of state budgets. Therefore the state needs more effective correction policies. For instance, individuals who pose the greatest threat to the community should be sentenced to imprisonment but alternatives such as early freedom should be given to the individuals who pose minimal risks. They can greatly benefit from outside rehabilitation efforts posted in correctional institution. Individuals who post low-risks to the community should not be put in incarceration. When this is done, the individual is separated from family life; work and offenly fail to address the issues that caused initial violations (Criminal Justice Section, 2012). So, the individuals who face parole and probation benefit from transitional sanction such as fines, home detention, and community service or increased reporting. The state of Maryland, for instance, had to deal with considerable budget

Public participation Essay Example | Topics and Well Written Essays - 500 words

Public participation - Essay Example All members of the committee nominated the chair and his deputy through voting. Free and fair elections were held with willing members of the committee being among the nominees. Free elections mean that citizens can go to polls without terror of reprisal, and for elections to be fair; they must be count with equality (Dahl 89). All the votes were counted as equal in front of the members to assure that their judgements were counted without biasness. The chair and his deputy were then announced to the members and residents immediately after the counting. One of the residents offered a suggestion on poor lighting of the streets. He advised on the installation of LED street lights. The resident also asked whether the poor drainage conditions are solved. Weaste ward councilor answered the question that the drainage and plumbing company was informed. The health improvement officer asked for suggestions on the re-housing of the rehabilitation center. It was advised that the center was to be moved from the current location. Citizens must be active in forming the actual agenda. They should be permitted to suggest on both specific and general matters that are to be discussed and finally decided on (Dahl 123). A resident suggested on a cleanup day, the individual suggested Saturday. The city council was to provide the gloves, in bags, and litter pickers. Citizens must be knowledgeable and should be given a chance to express themselves (Dahl 216). Notes on any disabled individual who wanted to participate in the meeting was to call the any of the ward’s clerk for accommodation. A disabled resident on a wheel chair suggested on building of ramps in public places like the city halls to make the movement for the less privileged easier and efficient. Everyone in the society should be given a chance to have the freedom of speech. Democracy is important in a community and country. Elections help hold a government responsible and let the people

Health Policy and Politics Essay Example | Topics and Well Written Essays - 750 words

Health Policy and Politics - Essay Example These are remarkable benefits surfacing the prevailing health care reform program of the government. However, amidst all of these good promises, there still remain rumors and continuing negative feedbacks about this program. This leaves a place to reconsider this issue. The Congressional Budget Office projected that the deficit under health care budget is said to reduce in the years to come. In fact, the projection is for each family to save maximum of $2,300 in 2014 with health care reform (Whitehouse.gov, 2011). This amount could hardly be achieved without health care reform program as indicated in the projection. There might be some truth to this. However, there are other essential environmental factors that need to be taken into account. Considering for instance the unpredictability of the economy, the costs of medicines and other related medical needs cannot be projected at some point. This only implies that the said reform needs to adhere to the prevailing economic condition and other relevant environmental factors prior to the realization of what affordability really means to people. It is true that with health care reform program the expansion of coverage is remarkable compared to the traditional health care system. In fact, young adults can now actually stay on their parents’ health insurance plan (Whitehouse.gov, 2011). This sounds good to hear, but there are other considerations when it comes to the bottom line. Insurers for instance do not just operate without taking into account how much profit they should make. Considering the dependents are increasing, there are only two remarkable impacts on this. The first is to increase member contribution and the other would be to put certain limit on the coverage or even cut something on the quality. This can still provide the benefits but the issue is about maximizing them. The people always have the final say on

Organizational Cultures Essay Example | Topics and Well Written Essays - 1000 words

Organizational Cultures - Essay Example To begin with, organizational culture is the personality or a face of an organization. Organizational culture consists of the assumptions, stereotypes, believes, values, norms, and artifacts of the members of taken organization (McNamara). The corporate culture of organization can be easily seen simply by the way people relate to each other, the way they communicate, whether they possess esprit de corps, etc. Briefly, it can be said that the basic functions of organizational culture are to give the staff a sense of identity, to promote commitment, and to enhance stability in the corporation. There are different types of organizational cultures just like there are different types of personal cultures. Herein I would like to present the following four types of cultures. Academy Culture is a culture in which employees are highly trained and tend to stay in the organization, while working their way up the hierarchical pyramid. Examples of such organizations are universities, hospitals, and large corporations. Baseball Team Culture is the culture where each employee is in high demand and can easily get employment elsewhere. Good examples of organizations with such cultures are fast-paced, risky companies, such as investment banking, advertising, PR agencies, etc (Curry). Club Culture is a culture which is comprised of employees who are trained to work in closely-knit groups. Examples of organizations possessing this type of culture are the military, as well as law and notary firms. Fortress Culture, is the most unstable culture from the mentioned above, because in its framew ork employees do not know whether they should expect to be laid off or not (Curry). Examples of organizations possessing fortress culture are savings and loans companies and car manufacturing companies (McNamara). Organizational culture can also be described in regard to three levels that were first introduced by Edgar Schein, a professor who has left a notable mark in the field of organizational culture. The fist and most visible level is behaviors and artifacts. This evident level consists of behavior patterns and external expression of culture. Artifacts and behavior usually tell us what the group of people is doing, though when observing behaviors it is impossible to understand the reasons behind the particular actions (National Defense University). At the next level of culture are values. Values bring about and determine behavior, they give us explanations that are behind the actions of staff, however, they are not directly observable, as behaviors are. The last and deepest level of culture is the level of assumptions and beliefs. Once understanding

Defiance and Resistance Essay Example for Free

Defiance and Resistance Essay In both works The Crucible and The Bride Price by Arthur Miller and Buchi Emecheta, superstition and hysteria play key roles in destroying the morale of the Puritan and African communities. The setting in which both take place in between pre and post modernization effect the odd behavior demonstrated. In both texts, behavior different from that which is customary and accepted is interpreted as supernatural witchcraft. The fear of the unknown as well as jealousy fashions agitation, which in turn provokes individuals to turn on one another going against values and beliefs. In the play-write The crucible, Miller demonstrates the theme of the story which was rising over adversity, and standing for the truth even to death. Miller is displaying his interpretation of rise over adversity through John Proctor. John, in the beginning, wanted to keep distant from the trials. He did not want to associate or disregard his personal values by being part of the trials. When Elizabeth was arrested, he was forced to become part of it. He went to court first to set his wife free but after watching the proceedings, he saw that the evil was not only being done to his own wife but many others like his wife. As a result, he worked even harder to free the other innocent people, getting himself arrested. Despite this drawback, he did not give up. He had the chance to free himself if he testified against the others but he realized that this would be wrong, and even though he wanted to free himself, he would not if it meant bringing trouble upon others. He cleansed himself at the trial, standing for what he knew was right and died a righteous person. Though he stayed away from church, he became more pure than the common Puritans, dying as a martyr like the original apostles. He learned what truth meant through his suffering. In the novel, The Bride Price, Emecheta displays defiance and resistance through her protagonist, Aku-nna. In the Ibuza culture, it is not proper to marry or even associate ones self with an oseu. As the story builds to a climax, so does Aku-nnas courage build. Her courage, in turn, builds her defiance. After Aku-nnas menstruation has become public knowledge, she refuses to eat the chicken that has been slaughtered in her honor. At this point in the story, Aku-nna registers what very well might have been her first defiant thought. She was beginning to feel that it was unjust that she was not to be allowed a say in her own life, and she was beginning to hate her mother for being so passive about it all. As she stands in front of Okoboshi, the young man who has kidnapped her as a potential bride, Aku-nna loudly and forcefully speaks out in an attempt to save herself. It is out of fear of not only being raped but also of being deprived of ever seeing Chike again that she finds her voice and creates a story so vile that Okoboshi leaves her alone. The vile story that she creates is a lie, but the lie represents the epitome of her defiance. She tells Okoboshi that she is not a virgin; and, furthermore, she lost her virginity to a descendant of a slave. In so doing, Aku-nna risks everything, possibly even her life. Her uncle would surely kill her on sight but if she was forced to live with these people for long, she would soon die, for that was the intention behind all the taboos and customs. Anyone who contravened them was better dead and when you were dead, people would ask: Did we not say so? Nobody goes against the laws of the land and survives. Although Aku-nna has made her own choice to run away from her arranged marriage and marry Chike against her parents wishes, she cannot let go of the myth that plagues her: If a girl wishes to live long and see her childrens children, she must accept the husband chosen for her by her people if the bride price was not paid, she would never survive the birth of her first child (168). Though Chikes father offered to pay Aku-nnas bride price, her uncle simply refused to accept it, and therefore cursed her to die. In the end of the story, Aku-nna dies in childbirth, and her legend is used to further reinforce the threat of grim results for women who make their own choices. These stories remind its readers of an ugly blemish on human history. It reminds one that man is not perfect, and that we can make mistakes. However, even with these mistakes, we can cleanse ourselves and purify ourselves by making what is wrong right. As in The Bride Price where Aku-nna stands for what she believes in and what she loves and John Proctor standing for what he valued, both were defiant against their setting or community. The sufferings become to the sufferer like a crucible, and one must pay the price be it a bride price or the price of life. Show preview only The above preview is unformatted text This student written piece of work is one of many that can be found in our GCSE Miscellaneous section.

Structure, Physical Properties and Uses of Metals

Structure, Physical Properties and Uses of Metals Jason Thien FS Introduction Metals account for about two thirds of all the elements and about 24% of the mass of the planet. Metals have useful properties including strength, ductility, high melting points, thermal and electrical conductivity, and toughness. From the periodic table, it can be seen that a large number of the elements are classified as being a metal. Iron (Fe) The symbol for iron, Fe, comes from the Latin word Ferrum, and is one of the most useful elements in the world. Iron has: An atomic mass of 55.845 amu Melting point of 1535.0 degree Celsius Boiling point of 2750.0 degree celsius Electric configuration of [Ar] 3d6 4s2 Density of 7.86g/cm3 at 20 degree Celsius 26 number of electrons and protons and 30 neutrons Atomic structure of Iron Iron has a cubic crystal structure which is cubic body centered normally and it becomes cubic faced centered when heated up to between 1185K – 1667K. Uses of Iron Iron is the most used metal in the world due to being the fourth most abundant element in the Earth’s crust in addition to having high strength. It is also due to this which makes Iron having a lower cost than most metals in proportion to usefulness. Iron is ductile, relatively soft and a moderately good conductor of heat and electricity. It is used to make many things from screwdrivers to machine parts and automobiles to hulls of large ships. Iron can also be made into many useful compounds such as Iron Chloride, Iron Sulfate, Iron Hydroxide and steel. Iron can also be easily magnetized and lose it’s magnetism easily, making it suitable for making the core of an electromagnet. Copper (Cu) Copper comes from the Latin word cyprium. Copper has: An atomic mass of 63.546 amu Melting point of 1083.0 degree Celsius Boiling point of 2567.0 degree Celsius Electric configuration [Ar] 3d10 4s1 Density of 8.96g/cm3 at 20 degree Celsius 29 number of electrons and neutrons and 35 neutrons Copper has a cubic-faced centered structure in it’s crystal form. Uses of copper Copper is malleable, ductile and an excellent conductor of heat and electricity with only Silver having a higher electrical conductivity than copper. As a result of it’s excellent electrical conductivity properties, it is commonly used in electrical equipments such as wirings and motors. Copper is also used in roofing, guttering and rainspouts on buildings due to it’s slow corrosion rate. Many commercially important alloys such as brass and bronze contains copper. Furthermore, it can be used for many useful compounds such as copper sulfate and copper oxide. Copper is also an essential element in our body to help enzymes produce energy in cells. Aluminium (Al) Aluminium comes from the latin word alumen. Aluminium has: An atomic mass of 26.981 amu Melting point of 660.37 degree Celsius Boiling point of 2467.0 degree Celsius Electric configuration [Ne] 3s2 3p1 Density of 2.702g/cm3 at 20 degree Celsius 13 number of electrons and neutrons and 14 neutrons Aluminium has a face-centered cubic structure in it’s crystal form. Uses of aluminium Aluminium is a silvery-white metal. It is non-magnetic and an excellent conductor. As a result of it’s low density, low cost, thermal conductivity and corrosion resistance, aluminium is widely used around the world. It can also be easily cast, machined and formed. It is the second most malleable and sixth most ductile metal. Due to these properties, it is extensively used to make airplanes, outside building decoration and in any area where a strong and light material is needed. It also has no aroma compared to many metals therefore it is used for food packaging and cooking utensils. Although not as good as copper, Aluminium is still a good conductor of electricity. Because of this and also that it is heaper and lighter it is commonly used to make overhead power cables. Gold (Au) The symbol for gold, Au, comes from the Latin word aurum. Gold has: An atomic mass of 196.96 amu Melting point of 1064.43 degree Celsius Boiling point of 2807.0 degree Celsius Electric configuration [Xe] 4f14 5d10 6s1 Density of 19.32g/cm3 at 20 degree Celsius 79 number of electrons and neutrons and 118 neutrons Gold has a lattice faced centered structure in it’s crystal form. Uses of gold It is a soft, yellow metal with a beautiful lustrous sheen. It is the most malleable and ductile of all the elements and a single gram can be beaten into a one square meter sheet of gold leaf. Gold is widely used in jewelry and coinage. It is also used in dental work as crowns, as gold platings for decoration and as gold thread in embroidery work. Nearly 80% of all recycled or mined gold is intended for ornamental use. Many satellites carry gold-covered mylar sheets as a solar heat shield because gold is an excellent reflector of radiation and is unreactive. Gold is also widely used in microelectric circuits to ensure reliable, corrosion-resistant and static-free performance. Mercury (Hg) The symbol for mercury, Hg, comes from the Latin word Hydrargyrum. Mercury exists in the liquid state at room temperature. Mercury has: An atomic mass of 200.59 amu Melting point of -38.87 degree Celsius Boiling point of 356.58 degree Celsius Electric configuration [Xe] 4f14 5d10 6s2 Density of 13.456g/cm3 at 20 degree Celsius 80 number of electrons and neutrons and 121 neutrons Mercury has a rhombohedral structure in it’s crystal form. Uses of Mercury Mercury is a dense, silvery-white, poisonous metal with a mirror like appearance. It is the only common metal to be in liquid state and evaporates slowly at room temperature. Mercury can readily form alloys (called amalgams) with other metals such as silver and gold. Since it does not react in iron, mercury is often stored in iron containers. Due to it’s high density, mercury is used in barometers and manometers. It is extensively used in thermometers thanks to it’s high rate of thermal expansion that is fairly constant over a wide temperature range. It’s ease with almagating with metals is made use of in extracting them from their ores. Mercury is widely used in advertising signs, mercury switches and other electrical apparatus. Various compounds of mercury are used in medicine, dentistry, cosmetics and also in agriculture to make fungicide. Platinum (Pt) The name Platinum comes from the Latin word Platina. Platinum has: An atomic mass of 195.078 amu Melting point of 1772.0 degree Celsius Boiling point of 3827 degree Celsius Electric configuration [Xe] 4f14 5d9 6s1 Density of 21.45g/cm3 at 20 degree Celsius 78 number of electrons and neutrons and 117 neutrons Platinum has a face centered cubic structure in it’s crystal form. Uses of Platinum Platinum is a precious metal; soft, silvery-white, and dense with a beautiful lustrous sheen. It is malleable and ductile and has a high melting point. Platinum does not oxidize in air even in high temperatures and is unaffected by common acids. Platinum is widely used as a catalyst for chemical reactions with the most important use in vehicles as a catalytic converter. Platinum is also used in jewelry, decoration and dental work. The metal and it’s alloys are also used for electrical contacts, fine resistance wires and medical/laboratory instruments. It can also be used to make electrodes sealed in glass. Bibliography http://www.usesof.net/ http://www.chemicalelements.com/index.html http://www.lookchem.com/ http://www.rsc.org/ http://www.lenntech.com/index.htm 1 | Page