What are the principles of selling stock?

With millions of possible buyers/investors out there, your stock will always sell. Look at GM, even tho it was in bankruptcy, people were still buying. Somehow thinking it would rise from the ashes.

When you hit sell on your brokerage account, your order is routed to the NYSE, NASDAQ, etc. It might not sell instantly, but close to that. The exeception, might be penny stocks.

Even i had this doubt a while ago. Its sounds a bit complicated at first because human nature is to buy first then sell later. But see this is how it works:

When you want to buy or sell a stock you set a price that is known as a limit order. This price goes to the exchange and when somebody is ready to sell you the stock at your price or when somebody is ready to buy the stocks from you at the set price then the order gets executed.

When you are buying you are buying it from someone else, he may be an individual trader, mutual fund company or insurance company or even an investment banker. They are all part of stock trading. But when you sell you first borrow the stocks from the exchange an then sell it to somebody else. Now who would buy if the stock price is falling? See when the stock price is falling some expect that the price will again rise back. This hope makes them buy the falling stocks. And who knows the price may rise and you may be in a loss. Remember your loss is someone else's profit and your profit is someone else's loss. Neither the exchange nor the broker makes money or loses money from your profit or loss.

Example: your buying stock through the NY.Stock exchange (symbol NYSE) so when you buy it your buying it through a bank (Bank of New York which is wallstreet) which is ultimately how you buy all stocks/bonds/mutual funds, etc. so your not buying it from an individual, your buying it from a bank & when you sell, you don't have to wait for a person, your just selling it back to the bank....That's why all the banks went bankrupt on top of all the mortgages & lending too.

WHENEVER U THINK THAT IT IS THE LAST POINT OF RISE SELL IT BUT BE CAUTRUIOS THAT IF IT RAISES AGAIN BY 15 % THINK IT CAN GO UP