Loading lesson…

Lesson reading notes

What makes a price go up or down?

Price is just what buyers and sellers agree on right now.

Price = supply and demand

A stock's price isn't set by the company. It's simply what buyers and sellers agree on right now. More people wanting to buy than sell pushes the price up. More wanting to sell pushes it down.

What moves the crowd

People buy or sell based on what they expect: strong earnings, a hot new product, or good news makes people want in (price up). Bad news, weak sales, or fear makes people want out (price down).

It's about the future, not the past

Prices reflect what people expect to happen next, not just what already happened. That's why a company can report record profits and still drop — if people hoped for even more. The price already had good news 'baked in.'

Continue with all learning paths.

For education only. Quoliv uses fake money and does not provide personal financial advice.