Is the stock market entirely controlled by investors?
From what I've read and learned, investors place orders based on their response toward a company's performance and other aspects. If buy orders exceed sell orders, then a stock's price rises. The opposite would lower a stock's price. Right? So, does this mean that investors entirely control the stock market?
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Answer by Common Sense
You say;
"If buy orders exceed sell orders, then a stock's price rises"
Not necessarily true. You could have more sellers than buyers and still have an increasing price. If the buyers were putting in market orders & the sellers were putting in limit orders..... etc.
I don't understand your question. Who would control the market if it wasn't investors? How do you mean "control"?
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