Skip to main content

Price movement and news

 Demand can be very well related to the need in the market. When something of nominal value gets high in demand, it usually gets attention. So, when the attention rises it draws masses towards. This time we can observe a price surge. This happens often in tradable assets. Let’s take an example of a particular stock.

Usually, the price of the stock rises whenever good news is associated. This good news makes traders bring attention. Risk-takers invest based on this soothing news, which raises the price further. And soon it breaks the resistance and all retail investors start investing making the price move even higher. Even after days of news, it keeps the pace. Here people slowly start to form a consensus within themselves that the price won’t go much higher when reaches this or that point. Which makes people like him exit from there. When masses do this, it slowly reflects in the price movements. This leaves a panic among the general investors and they will start withdrawing money making the price stuck thereby creating new resistance.

It is not only the news that makes the price movement, also the contribution of peoples consensus. 


Labels:

Comments

Post a Comment

Most viewed

Traveling

Traveling may be expensive, but it offers a lot of exploration. We often tend to backnoff from travelling due to tightening money. Travelling should not be neglected. It gives us plenty of experiences and memories.
Post a Comment
Read more

Allocating time

In order to get something at our grasp we must do the work. In any case giving enough time and energy is necessary to make it possible. And sometimes not. Those are not rare case scenarios. It is well observed around. We must have experienced this. The evident factor is that, due to the most valuable time, we often switch things around, like hedging. Unlike hedging you cannot do both simultaneously. So the thing is we have to make blocks of time. These blocks will save lot of energy and of course brings the time for our deed.   During this process, it is necessary that we must allocate the time to those defined blocks. By allocating, we are actually veering the time from anything that we usually do to something purposeful . Because doing something that creates meaning requires effort and consistency. Motivation is not enough, it dies soon.   Here some people often confuses this with their moral things. Such as relationship and routine. Instead of keeping it well nourished, th...
Post a Comment
Read more