Supply and demand in stock market

Supply and demand in stock market

Supply and demand in the stock market

Professional traders always present on the trading floor and watch the screen they don't have any different resources than other traders but he knows your stop loss and the position of large traders. He have very good discipline and money management skills

  1. He understands the market and studies the price volume action to find the direction of the market.
  2.  He is only interested in the supply and demands his answer lies in volume - price action - price spread
  3. We are more focused on the indicator and plot 10 different indicators to identify the direction of the market but these tools never tell us why the market is moving up and down
  4. Professional traders read the market by the relationship between the volume and the price
  5. Professional traders use Stock open-high-low and volume and determine the purpose of the day activity.
  6. Supply and demand start in phases. Longer phrases lead to the large moves and shorter phases lead small moves in the stock market
  7. Supply and demand can be understood by comparing the previous day volume either it is high -low-normal or abnormal.
  8. Supply and demand can be understood by comparing the price spread of the day
  9. There are different types of price spreads wide price spread (up-down) and narrow spread up - down 
  10.  If after a downtrend is gapped up. This gap up is a trap for buyers  and hit the stop losses of short-sellers
  11. If stock price close up with the low volume it will not sustain for a long period because at a higher price the supply is grater then demand 
  12. If stock price closes up with increasing volume it will sustain and throw out weak players with high volatility and strong players buy all the floating share in the market during the volatility. 

Learn how to accumulate the stocks from this link 

learn why trend line works from this link 



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