if every stock transaction has a buyer & seller, does that mean 50% of the people will always be losing money?

Question

I just got into the stocks market. AFAIK every transaction must have someone selling and someone buying, both thinking that they will be making money. How can both be making money?

Does that mean at least half of everyone in the stocks market will have to be losers?

In: 97

Answer 1

Aside from what others said about depending on when people buy and sell, if you had one person that bought nine stocks at $20 each, and sold them to nine other people for $15 each, then there would be one person who lost money and nine people who gained money.