Contents I. Introduction
The term “stock” designates equity or ownership in a company or other organization. Shares are typically awarded in lieu of these stocks. A stock market is characterized as a venue for the trading of bonds and derivatives alongside shares or stocks of publicly traded companies [1]. It serves as a marketplace and platform that links buyers and sellers. There are two main stock exchanges in India. The National Stock Exchange and the Bombay Stock Exchange (BSE) [2]. The regulation of the stock market in India is done by SEBI or the Securities Exchange Board of India. It makes sure that the securities market in India works efficiently and transparently. It protects the interests of all the participants and ensures that no one gets any undue advantages [3]. The most ancient exchange for stocks in Asia is the Bombay Stock Exchange. Among the biggest stock exchanges is one like this with a market capitalization of $3,612,985 million as of June 2023. Promoting and fostering fair and moral trading practices in securities transactions, as well as discouraging unethical behavior, is one of BSE's main goals. Trading has to be done through a broker or a brokerage agency which charges a stipulated fee. Nonetheless, certain preferred investors who engage in significant transactions are granted direct access. The T+2 rolling settlement transactions, in which each transaction is completed in less than two days. SEBI is in charge of overseeing the BSE. [4]. It continuously updates the rules for its smooth operation. Some advantages of listing in the BSE are hassle-free capital Generation, Legal Supervision, Timely Information Display Adequate Pricing Rules, and Collateral Guarantee. The main financial exchange in the nation is the National Stock Exchange. On the advice of the Pherwani Committee, a group of prominent financial institutions came together to establish it. It consists of a variety of shareholding holdings from both domestic and foreign investors [5]. It was established with specific objectives in mind. It aims to create a nationwide trading establishment for equities, debt, and hybrid instruments. It also aims to enable faster settlement cycles, book entry settlement systems, and fulfill the latest international norms of securities markets. It serves an entirely automated system called the National Exchange for Automated Trading or NEAT. Each order received by the NEAT is assigned a unique number. If a match is not found, it is instantly included in an order book, where the sequence of orders to be matched is established based on price-time priority. Some benefits of Listing with the NSE are Comprehensive Visibility, a Premier marketplace, faster transactions, and better trade statistics [6]. An index of the stock market is a collection of stocks that can be used to represent the whole market or a particular subset of it. The NIFTY market index was introduced by the NSE. The NSE's flagship index, the NIFTY 50, is benchmark-based. Out of 1600 stocks, it displays the top 50 equity stocks that are traded on the stock exchange. The twelve Indian economic sectors that are represented by the NIFTY stocks are information technology, financial services, consumer goods, media and entertainment, metals, pharmaceuticals, telecommunications, cement and related products, automobiles, energy, fertilizers and pesticides, and other services. NIFTY is a component of the F&O and consists of several indexes, such as NIFTY 50, NIFTY IT, NIFTY Bank, and NIFTY Next 50. F&O [7] is a division of the NSE that oversees derivatives. The methodology used to calculate the NIFTY 50 indices is float-adjusted and market capitalization-weighted. Using this method, the level of the index displays the total market value of the constituent stocks over a specified base period. Broad indexes such as Sensex and NIFTY are used by mutual funds as a benchmark to evaluate their performance. The former offers a far more comprehensive benchmark of the Indian financial market because it is the larger of the two indexes. The purpose of this paper is to forecast the price of the stocks in the near future by performing a thorough time series analysis using the NIFTY 50 benchmark. Modern machine learning models are what we hope to use to complete this task [8].
