Buyers/Sellers On Balance

"Buyers on balance" means there are plenty of buyers looking to buy an asset or security, i.e. more buyers than sellers.

It can also go the other way: more sellers than buyers in the market, i.e. "sellers on balance."

Typically, analysts measure the ratio of orders to buy securities against those to sell securities. The ratio tells them which of more there are. Seems really simple, but it tells the analysts how the market is doing overall, and how investors are feeling toward that particular security by more or less measuing its popularity.

Buyers on balance can also apply to just one investor. In this context, it's measuring whether that investor has sold or bought more securities in a given period. This can indicate whether their portfolio is growing (buying new securities, expanding their horizons) or if they're in trouble (selling off everything in a hurry).

Obviously, you'd need to look at other factors before coming to a conclusion, but it gives you an idea of where things are trending, and where to look first.

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