Finansly

Understanding Institutional Orders in Supply and Demand Trading In the world of financial markets, price doesn’t move randomly—it's driven by the flow of orders. Among these, institutional orders are the true market movers. Hedge funds, pension funds, banks, and large asset managers trade in volumes that dwarf retail activity. When these large players step in or out of a position, the footprint they leave behind creates the supply-and-demand imbalances that traders can use to anticipate future price movement. What Are Institutional Orders? Institutional orders are large-scale buy or sell orders placed by professional market participants. Because of their size, these orders can't be filled instantly without moving the market, so institutions often split them into smaller orders or hide them using algorithms. Their activity forms areas of: Institutional Demand – price zones where major buying occurred Institutional Supply – price zones where major selling took place These z...

  How Stocks Are Discounted: Understanding the Math Behind Market Prices When you buy a stock, you’re not just buying a ticker symbol — you’re buying a tiny slice of a company’s future. But how does the market decide what that slice is worth today? Why are some stocks priced high and some low? The answer lies in a concept called discounting . Discounting is one of the most important ideas in finance. It’s the backbone of valuation models, the invisible force behind every stock price, and the reason today’s dollars are worth more than tomorrow’s. Let’s break it down in simple, practical terms. ✅ What Does “Discounting” Mean? Discounting is the process of taking money you expect to receive in the future and translating it into what it's worth today . You already understand this idea intuitively: Would you rather have $100 today or $100 a year from now ? Most people choose today’s money. Why? Because money today can be invested, used, or saved — it has more value right now...

What Is Supply and Demand Trading? If you’ve spent any time exploring price action or smart money concepts, you’ve probably heard the phrase “supply and demand trading.” It’s one of the most popular methods used by professional traders because it focuses on the most fundamental force that moves any market: imbalance between buyers and sellers . In this article, we’ll break down what supply and demand trading really is, how it works, why traders use it, and how you can start applying it in your own chart analysis. ✅ Understanding the Core Idea Supply and demand trading is a strategy that identifies areas on the chart where price has reacted strongly in the past. These areas represent institutional buying and selling —places where big players entered the market with significant volume. Supply zones = areas where sellers overwhelmed buyers, causing price to fall. Demand zones = areas where buyers overwhelmed sellers, causing price to rise. Instead of using indicators, this method u...