Why & how price of a stock Rise or Fall?

How the next second price of a stock is decided, obviously it will be a computer programme but what is the logic used in that programme? Which are the factors responsible for change of price of a stock besides Greed/fear/bad news (loss, debt of company etc) ? Explanation with example will be appreciated !!

Depends on demand and supply via bid and ask quotes. If LTP(LAST TRADED PRICE) is 100 and one want to sell at 100.1 and one want to buy at market the trade will take place at 100.1 and next tick is up as LTP is 100.1 as compared to previous LTP of 100.If the next trade happens below 100.1 it will be a down tick and the process continues.

1 Like

Exactly as Siva Said, its just demand and supply. A the company is attractive, everyone wants to own the share, hoping for a better return, the stock shoots up. Here are some reading for dummies in stock market.

Hi Learner,

In order to understand the stock performance you should also check the various fundamentals :


You need to first search the desired stock in the search box provided. Then selected the stock and it will give you the full fundamentals.