📈 What Is Demand in the Stock Market
Demand in the stock market refers to how many shares investors want to buy at various prices. In simple terms: 👉 More buyers = higher demand. 👉 Higher demand tends to push stock prices up. This happens because when many investors want to buy a stock, they are willing to pay more for it, and sellers take advantage of that to sell at higher prices. 📊 Demand vs. Supply — The Price Game Stock prices are mainly driven by the balance between demand and supply in the market: ✅ Demand > Supply → Price Rises If more people want to buy a stock than sell it, buyers will bid up the price until supply rises or demand falls. ✅ Supply > Demand → Price Falls If too many sellers and not enough buyers, sellers lower their price to attract buyers. 👉 The equilibrium price is where demand and supply balance, and at that point there’s no pressure for prices to move. 📌 Why Demand Matters to Investors Here’s how demand influences market behavior: 💡 Pric...