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Hoots : Why does a share price fall despite purchases? In the Stock chart there is a section where only purchases are noted, but the share loses value. My understanding so far has been that the stock would have to increase in value - freshhoot.com

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Why does a share price fall despite purchases?
In the Stock chart there is a section where only purchases are noted, but the share loses value. My understanding so far has been that the stock would have to increase in value in this case.

What factors can cause a stock to lose value in such a case?


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Looking at the japanese candles chart might also help. I believe that gaps could also explain why you see those volumes marked as green while you would probably expect them red. Anyhow my understanding is similar to what Bob Baerker says, price goes down when there is more offer than demand and goes up when there is more demand than offer.


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The short answer is that:

Net excess buying volume pushes share price up
Net excess selling volume pushes share price down


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I think you need to go back and reconsider your interpretation.

First, the volume is showing you the TOTAL volume. It is showing you "How much X has been traded over period Y".

The pretty green/red colours are derived data:

Green = Closing Price > Opening Price
Red = Closing Price < Opening Price


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