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How does the stock market work? http://www.financial-spread-betting.c... PLEASE LIKE AND SHARE THIS VIDEO SO WE CAN DO MORE! Who decides the price of stocks? What is the logic behind the valuation of stocks? Who decides the price of a stock? Who decides how much a stock is worth? How do I know what the price is going to be? Who decides whether a stock goes up or down? What is the stock exchange? How does it all work? Let's work in how exactly a stock price is derived. Basically no one person will decide the price of a stock. Let's take an example - this could be Apple, Sainsburys, Tesco..etc - any stock that is traded on an exchange is purely based on supply and demand. For a trade to take place a seller and a buyer must agree on a price and when they execute a trade the agreed price becomes the price of that stock. The last trade becomes the current price of the stock. If everyone else is trying to buy low and sell high, then how can I be successful doing it? And NEVER forget, EVERYTHING can also be bought high and sold low.

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