What is market?
Collective behavior of buyers and sellers can be defined as “the crowd” or “the market” which set prices in the market. Prices are generally clustered around averages when market is trending. while stock market or equity market or share market is the aggregation of buyers and sellers of stocks (also called shares), which represent ownership claims on businesses; these may include securities listed on a public stock exchange as well as those only traded privately.
to make profit out of stock markets, you must have ability to analyze and predict the market right way. and Stock market movement can be predicted through understanding and focusing on following points while trading:
- Understanding supply demand.
- Analyzing Crowd behavior.
- Finding out, what’s normal?
- Encashing Crowd extremes reactions.
we will see each these techniques in details in upcoming posts.