The change in stock prices can be very fast and comparable to the dropping downhill by high speed train. The feeling of trading is similar and this is one of the things that make people to trade with shares and CFD. If stock prices do not change, then you will not make money in trading shares and CFD. Without investors a great part of industry and trade could not develop because the need of financing and liquidity.
The market is a very dynamic environment. Shares price constantly changes so their value at any time is different. This movement appears random but actually there are some reasons for it. The reasons may be most various- from a publication of revenue or expenses to news about a deep recession.
But the need of balance between the forces of supply and demand is at the root of all reasons. To have a successful trade you should pay attention to the nature of reasons. It will be of your benefit the ability to view them both macroeconomic and paying attention to more possible details.
Better results than expected for the quarter announced by a company may lead to a higher price of the shares and CFD based on them. The demand for shares and CFD can decrease if the traders hear some bad news or rumours about the company. Offering of shares or CFD will also begin to decline when companies start to buy shares back. When companies with a great financial capacity feel that their shares are overlooked they often start to buy its own shares in order to increase its price. In this way they aim to increase the investment in the company.