Hello, I am just scratching the surface on trading. Must admit it all seems overwhelming but I'm going to see how far I can get into understanding the processes and procedures.
I've asked these questions of people who invest in stock markets but strangely, they usually answered with "I don't know." Maybe my questions don't even make sense.
You won't believe how basic these questions are but I've got to understand the bare minimum first. Prepare to chuckle.
These Qs pertain to stock markets.
1. I know that when a trader buys a stock, the price of the stock is driven up by that demand. Who or what actually increases the price of that stock? Does any purchase of a stock by any trader trigger the increase? What if multiple purchases are made before the increased price has been posted?
2. When I sell some stock that I bought earlier in the day, doesn't there have to be someone who is willing to buy that stock at the sell price I'm asking? What if nobody wants it at that price? If I wait until just before the close and nobody takes my offer can I get saddled with my position over night?
Okay, that's really about 10 questions-not two. Hope they make sense because I'm not even sure of my terminology.
Please use small words that a know-not like me can understand.
Thanks