The two basic terms used most often by traders are supply and demand trading.
Supply = selling
Demand = buying
Supply is the quantity of an item available for buyers at a certain price.
An area of increased supply refers to an area of increased selling pressure. This selling pressure causes a market’s price to fall.
Demand is the quantity of an item which is wanted by buyers at a certain price.
An increase in demand refers to an area of increased buying pressure. In other words, an area of support. This area of increased buying pressure causes a market’s price to rise.
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