Why does market do what it does?

  1. 1,320 Posts.
    Today, I watched something occur in the market that we've all seen before but may have scratched our head and wondered why.
    I'll use the example of two shares - DVT and ASC - whose activity seemed to defy normal market dynamics. The story is: both are relatively popular at the moment; both finished down by the same percentage; both had equal volumes traded; both are trading in a tight band.
    But there is one key difference. DVT had far more buyers wanting very large parcels than sellers were making available. On the other hand, ASC had marginally more sellers than buyers.
    Normally, more buyers than sellers delivers a positive result. So DVT should have increased or held its position. It didn't. ASC had more sellers than buyers and accordingly finished off the mark.
    The buyer/seller ratio for each share was completely opposite to each other yet both finished down. As old Dr Miller used to say, why is this so?
    Do my learned peers on HC wish to contribute any opinions as to why different shares can act so contrary to market dynamics?
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