Posted by yehoram on September 08, 1999 at 23:57:47:
In Reply to: Re: 1/16 bid??? posted by William sligh on September 08, 1999 at 22:24:28:
today was the first day of trading. someone was attempting to get a bargain and posted 1/16 on the bid. If anyone wants to sell at this price than it will set a closing price otherwise the bid will have to go up until it matches an ask.
So, in summary, the stock price is set when a buyer and a seller agree on a price. if there are more sellers and they agree to sell at a lower price than the price goes down. Similarily if there are more buyers and they agree to buy at higher prices than the stock price goes up.
Yehoram