What happens to a stock when there are more sellers than buyers?

The stock market works on the economic concepts of supply and demand. If there is more demand, buyers will bid more than the current price and, as a result, the price of the stock will rise. If there is more supply, sellers are forced to ask less than the current price, causing the price of the stock to fall.

Does a stock go up if a lot of people buy it?

If there is a greater number of buyers than sellers (more demand), the buyers bid up the prices of the stocks to entice sellers to sell more. If there are more sellers than buyers, prices go down until they reach a level that entices buyers.

What happens when there are no buyers for a stock?

When there are no buyers for any product there will be no trade. Same applies to the share market as well. Share market is not different from the other market places, its just that product here are shares and derivatives. In case of no buyers only sellers, share will hit the lower circuit.

Who buys the stocks when you sell them?

Institutions, market specialists or makers, corporate traders or individual traders may buy your stocks when you sell them.

Why do stock prices go down when there are more sellers?

You are correct in saying that every time a trade happens, someone is buying the shares that someone else is selling. However, if there are more sellers than buyers, sellers are more willing to lower the prices to attract buyers so the prices keep going down.

Why do people buy and sell stocks at the same time?

In the mean time, some people might actually buy the stock to immediately sell it once the price has gone up a bit more. Basically, they try to guess which companies will go up in price on a specific day, start buying a lot of stock at the beginning of the day and sell it again at the end of the day for (hopefully) a higher price.

Why do Stocks go up when people start buying them?

When people start buying it because the company has a good product, the stock price goes up. This is all spectulative meaning that it is what the buyers are willing to buy at and the sellers are willing to sell at.

How does supply and demand affect the stock market?

In these cases, buyers start offering a premium price to persuade owners to sell their stock. When enough buyers bid up the price, the rising price changes the supply and demand dynamic. At the new higher price, some people are less interested in buying and drop out of the market.