Why the trends change if there are equal no. of buyers and sellers at any point of time?
Buy and sell orders are match equally matched at “any point of time,” but the changing variable is “at what price?” If the supply of orders either on the bid or offer side becomes lighter relative to the market buy or sell orders, then that’s when we start to see price trending one way or another.
For example, if I put in a market buy of 10M EUR/USD, and the next best offer prices are 5M at 1.3000, then 3M at 1.3001, then 2M at 1.3002, then I’ll get filled at those various prices for an average fill of 1.30007, and pushes the last market price up to 1.3002. Makes sense?