Volume

The strength behind a move

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In this lesson

Use volume to judge whether a move has real participation behind it, and spot weak breakouts.

Key takeaways

Volume measures how much was traded in each period.
Moves on rising volume have more participation behind them.
Breakouts on low volume are more likely to fail (fake-outs).
Compare volume with its own recent average, not with other markets.

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Next lesson: Chart patterns

Educational information only - not financial advice.

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