Analysis: Stock Market trends

Psychology and confidence plays vital roles in changing the stock market direction. In Bull Run, investors prefer to invest at any valuations and everyone talks about shares. But in bear markets, investors prefer to stay away from stock investments even though valuations are attractive. Stock market trends give interesting insights about the investors and their behaviour.

Stock Market interest:

This chart is giving clear idea about the declining interest among investors on stock markets. Stock market interest which was peaked during January 2008 and is gradually declining along with falling Sensex. Stock market related searched are declined by more than 50% since January.

Stock market popularity is gradually gaining ground since 2004 and it was peaked in late 2007. Sensex rise is directly proportional to investor’s interest and vice versa. Stock market popularity is gradually declining in Ahmedabad in the last 12 months while it is unchanged in Surat and Mumbai.

Stock Market popularity:

Gujarat is far ahead as expected but Orissa surprisingly stands in the second place followed by rich states like Punjab and Maharashtra. My state “Andhra Pradesh” is not in top 10. Why Orissa people are more interested in Stock Markets? Tamil Nadu is the top Southern state and is in the 10th place. South Indians are conservative type unlike other Indians despite rising incomes.

Surat is the top city in the stock market popularity followed by Mumbai, Delhi and Mangalore. Chennai is the top South Indian city in the 7th place. Ahmedabad which was once in top place but now failed to find a place in top5.

But stock market interest increased by 500% in the last one month across the world due to current economic crisis. While most of the world is searching for "Stock markets", Indians are moving away from stocks.

Rising Stock Market searches: People are clearly in panic state and are interested in knowing about happenings in US Stock markets.

These things reveal about what investors are searching for. In 2007, more people searched for “Asian Stock market” but in 2008, they are searching for “US Stock market”. This is another interesting trend. “China Stock market” is popular search query in 2007. Madhya Pradesh and Haryana people generally use word “Share market” instead of “stock market”.

World Stock market trends:

There is a steep rise in stock market related searches across the world due to current turmoil. Wall Street Journal is reporting abnormal rise in traffic in the last one month. Indian investors are acting in opposite direction.

India is in the second place in the stock market related queries. Like Orissa, poor African counties, Nigeria, Zimbabwe and Kenya, are in the first, third and fifth places. Stock market interest is no way related to richness of state or country. USA and Singapore are in the 9th and 10th places. In 2008, Nepal is in the fourth place while 9 out of top 10 are occupied by poor countries from Asia and Africa. This is an interesting trend. China was left out due to language problem.

Mumbai and Delhi are the top cities in stock market interest and other top 10 slots are filled by American Cities. There is a steep rise in stock related searches in America in the last 1 month. New York, Atlanta and Boston are top cities in Stock market related searches. Like Madhya Pradesh, Nepal people prefer to use word “Share market”.

China, Japan and Korea are left out as english is not their primary language.

All the global markets crashed in the last one month and investors across the world are in panic state. But global investors are searching more to know about stock markets while Indians are not interested to know about credit crisis and global economic problems.