tradingfloorai

LESSON 11 OF 16 · 2 MIN

Volume: how much was traded

IN SHORTVolume is the number of shares traded. Big moves on big volume carry more weight than moves on thin trading.

Volume bars under a chart show how many shares changed hands each period.

  • A rise on high volume suggests strong buying interest.
  • A rise on low volume can fade quickly.
  • A volume spike on announcement day shows the news mattered to investors.

KEY POINTPrice tells you what happened. Volume tells you how many people agreed.

Small companies can see huge percentage moves on very few trades. Always check volume before reading too much into a jump.

Try it: Compare volume on announcement days with normal days.

Open a chart

Quick check

1. What does volume measure?
2. Which rise is more convincing?
3. Why be careful with small companies' big moves?

Education only. TradingFloor AI does not give investment advice. Prices can fall as well as rise and you may get back less than you invest.