Stock market research is a crucial part of trading and investment. In this article, I will explain a powerful free stock market research tool called Trendlyne. The tool comes with comprehensive features presenting a broader picture of the market and stocks. I will walk you through the features individually to give you good clarity on the tool.
What is Trendlyne?
Trendlyne is a stock market research tool that helps you find profitable trading and investment opportunities through its advanced features such as DVM, Stock X-Ray with SWOT, Forecaster Dashboard, Stock Screeners, Portfolio Analysis, Research Reports, and Heatmaps. The tool offers an excellent market overview and helps you keep up with every critical update of the market with its latest news. Further, you can create your own Watchlist to track your favorite stocks.
The dashboard presents an excellent overview of indices, sectors, and industries. It displays the Top Gainers Stocks, Top Losers Stocks, New 52 Week High, New 52 Week Low, Volume Shockers, High Volume & High Gain, Stocks that are Overbought on MFI and RSI, Stock with rising delivery percentages, and more. Besides, you can set price alerts for your stocks and indices on the platform and check the FII and DII participation in the market.
Trendlyne User Interface
Trendlyne's user interface is comprehensive, but it isn't beginner-friendly. To use this stock analytics platform, you need to know what it takes to select stocks. This knowledge will help you quickly find the platform's most essential features and gradually explore the advanced features from there on.
A good place to start is the Markets tab; it gives you a good overview of the current market with Top Gainers Stock, Top Losers Stocks, New 52 Week High, New 52 Week Low, High Volume, High Gain, High Volume, Top Losers, and Volume Shockers. As you scroll down further, there are some handy features such as News by Trendlyne, and Indices and Sectors Performance. Besides, there is a feature called Most Popular Stock Screeners.
While I didn't find the News by Trendlyne feature much useful, the Indices and Sectors Performance is an outstanding feature. It lets you view the Global Indices' performance and the performance of sectors, industries, and ETFs. You can check the performance of a sector or industry for a day to up to 10 years. It can certainly be an extremely powerful tool in your stock selection.
The Most Popular Stock Screeners is another handy feature that displays various prebuilt screeners under multiple categories. You can search for what you have in mind or experiment with these screeners to see which works best for you.
Durability, Valuation, and Momentum Score (DVM)
DVM is an advanced feature with backtested historical scores to help you determine high-performing and low-performing stocks. If you look at the Infosys DVM, the Durability score is 50/100, the Valuation Score is 30/100, and the Momentum Score is 67/100. Even though the Momentum Score is pretty good, the stock didn't do well in terms of Durability and Valuation. As an investor, you need to look for stocks with good scores in all three categories. Hence, adding such a stock to your Watchlist may not be wise now.
Strengths, Weaknesses, Opportunities, and Threats (SWOT)
SWOT is another highly useful feature for stock selection, and what it does is track the health of a stock in real time by finding strengths and weaknesses across over 1000 parameters. If you look at the Reliance Industries SWOT, it scored 13, 2, 4, and 0, which means it has thirteen strengths, two weaknesses, four opportunities, and 0 threats.
Hence, it's a reliable stock to invest in. If you want to know what the strengths, weaknesses, and opportunities relating to this stock are, you can click on the SWOT. It will then display the details under four categories. You can browse these categories to check the details.
The Alpha Alerts lets you add alerts in real-time for price, volume, crossovers, bonus/slit and more. You can click on the Alerts tab and then Set Live Portfolio/Watchlist Alerts. For this to work, you need to have at least one Watchlist. I created one with five stocks and named it Watchlist 1. Next, you have to select it from the Search field to set your alert for a particular watchlist. You can go with the defaults if you want alerts for all your portfolios and watchlists.
As far as setting an alert goes, you may set 52-week highs and 52-week lows alerts, and it will send you an alert when any of your stock crosses its 52-week high or low. You can accordingly plan a position at a retracement after the breakout or breakdown.
Besides, you can set alerts based on moving averages, as you can see in the image. I have put a simple alert based on the 50-day Moving Average, and according to this, whenever the price of any stock crosses the 50-day moving average above or below, I will receive an alert. Similarly, you can set alerts based on volume and delivery, Breakdowns and breakdowns, resistance and support, high DVM score stock, and more.
The Forecaster feature provides you with price target predictions from experts, including future revenues, profits, cash flows, and more. It lists stocks under various categories, such as high bullishness, high bearishness, high forward annual EPS growth, lowest forward EPS growth, High 3Mth analyst upgrades, and more, as shown in the image.
Trendlyne helps you find highly profitable investments with its prebuilt stock screeners, which have over 1000 parameters across technicals, financials, shareholding, and more. You can also create custom screeners based on your specific parameters. To use the screeners, click on the Screeners tab.
As you can see in the image, there are various categories, such as Multi-query stock screeners, DVM Stock Screeners, Price and Volume Stock Screeners, Technical Stock Screeners, and more. You can select any category and then select any convincing screener for your investment. Besides, you can experiment with as many screeners as you want.
Trendlyne claims to have the most extensive research report database in the market and it helps you track analyst buys and sells, updates and downgrades. As you click on the Reports tab, it will display all research reports. The page displays Filter stocks by Upside, Upgrades, and Downgrades, Broker research report sentiment, and Most actively researched stocks.
Another advanced feature is Heatmaps, which let you quickly find the most bullish and bearish industries and indices. The feature allows you to check an index's performance for up to 10 years, so you will know which index or industry is doing well. You can use this feature by going to the Indices and Sector Dashboard from the Markets tab.
Trendlyne is a powerful stock analytics platform with advanced and comprehensive features. As I have already pointed out in the beginning, beginners may find it confusing to see too many features. Hence, you must have some prior experience in stock selection before getting to this platform. Even though it may take a while to know how to use most of this platform's features, they can be highly useful.