Why does todays opening price differ from yesterdays closing price?
An opening price for a security may differ from its closing price the previous day. If you place an order after the market closes, you may receive a different price for the security than anticipated. The reason this happens is because the Specialist (for listed stocks) and the Market Maker (for over-the-counter stocks) can open a security at a “fair and reasonable” price. Sometimes this price differs from the closing price of the prior day. This may occur for a number of reasons including news released after the market closed or changes in supply or demand for the security.
