i want to know that when a block deals happen that how can i check that its an buy block deal or sell block deal
and as the block deal has taken place what action should i take buy the share or sell the share
Typically a block deal is considered buy when the buyer has purchased the stock across multiple counter parties. Likewise for sale.
What action to take - this is tricky as it really depends on who is buying/selling what etc.
@Karthik isn’t it clear on what we should do based on the price movements on that day? Price closing higher than usual and volumes higher than usual means the crowd is bullish?
Absolutely, especially if you re trading intra day. Focus on price action is essential. Both block and bulk deals have no impact on price action since they are off market transactions.
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For checking whether the deal is Buy or Sell, you can track on ET screens
There is an interesting inference you can make only if the insiders are buying back the company shares, that the company is confident of its performance ahead. Although you don’t have to buy that particular share, but this is one of the indications if you keep observing that promoters stake is increasing through QoQ. The Sell works opposite. My recent observation has been Kansai Nerolac in this category.
PS: No, I am not recommending Kansai Nerolac. 