How to predict if a stock will go up or down

How to predict if a stock will go up or down?

Market forces alter the prices of stocks daily. In such a scenario, it takes basic understanding to understand that when more buyers queue up for buying a specific stock, the price for the same goes up. When more investors want to sell off the stock, the price for the same comes down. While this seems easy, there are a lot of factors that dictate price changes in the stock market.


When engaging in intraday trading, you might wonder if there is a way to predict the price movement of stocks at all. The basic factors that help you analyse a rise in price or a fall in price of the stocks are-

Preparing charts to analyse price movements in the stock market helps to analyse data for pointing out the optimum entry and the exit points for trade. These charts specify how certain stocks are behaving over a short and long-term period. As a trader, you can see how the pricing moves for a specific list of stocks over a certain period. This gives you a rough idea about when the price could rise and/or fall for these stocks. Such charts reveal information on the high, low, open, and also closing prices as per a specific time window.

Virtual stock trading

What if there was a way to engage in some stock price predictions just before investing? It makes intraday trading easier to tackle but could also make you a more seasoned investor. The stock market could be confusing and unless you have got a hang of the analysis of stock movement, you might be out for a gamble. 


With TradingLeagues you can simply engage in playing some stock trading leagues for practising stock price predictions. The more you engage in these games you get an understanding of any correlation in stock fluctuations. If the price goes up for one stock, you can track any related factors that might have influenced the same.

How to predict stock price movement?

While a variety of factors influence stock price movement, the one point to remember is that at a given point in time, the price is because of the supply and the demand in the current market.

Fundamental factors that drive stock price movements are based on company earnings as well as profitability of the company. Technical factors that influence stock price movements pertain to momentum, chart patterns, and other behavioural factors among investors or traders.

Market trends

The current market trends tend to either move the prices of the stock upwards or downwards. Sometimes they could even cause a sideways shift. The market trend signifies the direction towards which the stock is generally moving.

Sometimes, an intermediate trend can arise suddenly and cause a frenzy. Traders would be wise to stay aligned with market trends and not go against the same.


Studying volatility involved with stocks will help you understand the rate by which the price of any stock goes up or down over a specific period.


As per stock market terminology, volumes refer to total shares numbers that you trade in, for a specific time period.

Trading volume-related analysis helps intraday traders and investors.

Support and resistance: Breakout

The support level is the price of any stock at which the latter drops more than one time. If a stock dropped to INR 100 and then grew to around INR 120 before dropping to INR 100 (and growing again), it would mean that INR 100 is a support level of the stock price.


On the other hand, the resistance level signifies the price that the stock never touched till date. For instance, if a stock price hit INR 120 and dropped back to INR 100 before growing again to INR 120 and dropping back, the resistance level would be INR 120.


Whenever the price goes below the support level or over the resistance level, traders call it a breakout in the market. The support and the resistance in trading can help estimate good buying or selling positions. The support level signifies a good buying position, while the resistance level signifies a good selling position.


Besides the factors mentioned above, several tools help predict price movements in the stock market. From watch lists to charts and even moving average or relative strength index; there are a whole lot of factors that help analyse price movements. 


TradingLeagues understands how important it is for traders to watch stocks and then analyse them. The app offers curated stock watch lists that form a part of the app’s fantasy stock universe. It is a one-stop destination to help you to learn and practise trading virtually. with the combination of its leagues; Classic Leagues, Target Leagues, Selection Leagues, and Battle Leagues, you can begin to understand how trading in the stock markets works. The games are fun and immersive. Keep playing and climb up the leaderboard to win rewards. Download TradingLeagues app for free now!