Sarissa Resources Inc (SRSR)

[Newbie_Niobium]

The share price is only a reflection of the last buy sell contract executed.

Supply (ask) and Demand(bid) controls the price movement of a equity.

The demand (bid) is what someone is willing to pay for the stock (ie .025 for 5000K shares) The supply (ask) is what someone is willing to sell their shares for (ie 1.00 for 10K shares)

If a stock is trading at 10 cents. Someone looking to buy in may bid 0.09 for 5000 shares and someone else may bid 0.08 for 5000 shares and someone may bid 0.07 for 5000 shares. If someone sells 11000 shares at market this will result in a share price that moves from 0.10 to 0.07 and a 30% reduction. The bid will then move to 0.07 for 4000 shares.

Now, if the bids were 0.09 for 50000 shares, someone bids 0.08 for 10000 shares, and so on.... If someone sells 49000 shares at market the price will only move to 0.09 and 10% yet the sell volume was much higher.

The bid controls how the price moves when people sell into the bid. The ask controls how the price moves when people buy into the ask.

If the ask is heavy and the bid is light it will take more share volume to move the price up then it will to take the price down.

In others words, if the price moves down on X # of shares being trade and it results in a 20% decline, yet in the same security the ask moves up only 5% on the same x# of shares being traded. then supply outweighs demand. More people are selling then buying.

hope this is helps.

IMO