04 February 2016
you can also say demand and supply effect, If you have more buyers than sellers for particular stock,generally buyers comprimises and buy for a price quoted by sellers...which leads to increase in price, If you have more sellers than buyers for particular stock,generally sellers comprimises and sell for a price bided by buyers which leads to decrease in stock price,
why buyers is more in particular stock and why sellers is more in particular stock?
Theoretically, earnings are what affect investors' valuation of a company, but there are other indicators that investors use to predict stock price. Remember, it is investors' sentiments, attitudes and expectations that ultimately affect stock prices.
Each investor has his own perception of futuredivedends and desired timevalue of money .This is the main reason for different quotes for same stock
And people understanding on economic environment,ability to understand business reach,government approach on industry, alot of topics,this is very broader topic cant explain more than this