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Sinclair, the narrator and also Max Demian are the protagonists. They are complementary to each other. Sinclair suffers a lot mentally. Finally, he is able to probe through the deeper layers of his mind. Earlier in the novel Max Demian protects Sinclair from the antagonist Franz Kromer. At the end of the novel, he enables him to realize that what he sees in Demian is actually hidden within himself.
Franz Kromer is the antagonist in the novel. He bullies Sinclair by threatening him, extorting money from him and torturing him in various ways.
Climax is reached at the end of Chapter Six when Sinclair no longer looks upon Pistorius as a master. He has hitherto always depended on a master. He writes on a piece of paper. "A leader has left me. I am enveloped in darkness. I cannot take another step alone. Help me." He wishes to send the note to Demian but it seems foolish to do so. Therefore he does not send it.
Demian is a novel, which is concerned mainly with the mental upheaval of the narrator, Sinclair and the working of his sub- conscious mind. The final outcome is the realization by Sinclair that solutions to all problems are hidden within him. It is also the realization that Demian is an extension of his own secret self. This is indicated at the end of the novel when Demian tells him that he will not come to him again. Whenever he has a problem like Kromer, he must look within himself and he will find him (Demian) there.