Business Newspaper Stock Recommendations for Intraday Trading: Empirical Analysis from India

With the introduction of easy computerised trading platforms and online trading, intraday trading has been widely used by novices as well as individual investors, in addition to professional traders and investors. People are lured to intraday trading, due to quick gains (results) from it. They get instant gratification from intraday trading. Today, information about stock recommendations is available from various sources like newspaper, websites, search engines, social media, brokers, etc. In spite of the rise in the extensive use of Internet, there is an increase in the readership of newspapers in India. This research paper studies and evaluates the intraday trading stock recommendations provided by the Economics Times newspaper in India for intraday trading. The paper investigates the probable returns from this recommendation for day traders. Buy recommendations provide negative returns, but sell recommendations provide positive returns. But overall, it is found that trades done on the basis of these recommendations earns no significant returns for the traders. Also, brokers recommendations provided in the newspaper show no significant returns for the traders.