Contact us :- stocksurfaceofficial@gmail.com
The law of supply and demand is an economic principle that describes how the relationship between supply and demand for a product or service affects its price. In the stock market, supply and demand can help traders predict market movements and make informed decisions.
Here are some key concepts to understand about supply and demand in the stock market:
Supply and demand curves
Supply and demand curves can be plotted on a graph to show how supply and demand change with price. The point where the curves intersect is the market-clearing price, where supply and demand are equal.
Price elasticity
Price elasticity measures how responsive demand is to changes in price. Goods that are inelastic are relatively insensitive to price changes, while elastic goods are very responsive.
Supply and demand zones
Supply and demand zones on price charts indicate areas where prices may face support or resistance.
Supply and demand trading
Supply and demand trading can help traders make informed decisions and capitalize on market dynamics. Some strategies include using limit orders or price action entry.
Forecasting
The demand and supply theory can help forecast future stock prices.
#trading
#demandandsupplyzone
#technicalanalysis
#tradingstrategy
#investment
#swingtrading
#intradaytrading
Ещё видео!