How exchanges work
Market Basics
A giant auction
An exchange is a continuous auction matching buyers and sellers. Price is just the last deal struck. When buyers get aggressive it ticks up, when sellers do it ticks down.
Check yourself
Price rises when…
- The company earns money that second
- Buyers accept higher asking prices correct
- The exchange raises it
Price = the last match. Eager buyers lifting the ask push the tape upward.
Learn this properly
This term has a full interactive lesson in Wick — the chart, the pattern to tap, and a live practice terminal to try it on. Free to start.
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