Volume

Volume is a generic term for the number of securities or contracts traded in a given period. It is an important indicator. When a significant headline does not influence the market, volume is a stochastic function independent of price.

当出现相对显着的上升或下降时，交易的数量突然变得很大。如果价格是支持点，那么大量的销售可能无法将其拆除，但是一旦有大买，价格就会立即上涨。

反向也是正确的。因此，通过交易金额的变化和价格分配，您可以粗略地分析支持/阻力的分布。

Stock market volume is the number of transactions reached between the buyer and the seller of stock and is unilateral.

例如,一个年代tock with 100,000 shares traded for the day means buyers bought 100,000 shares while sellers sold 100,000 shares.

It is generally not calculated bilaterally; for example, 100,000 shares bought plus 100,000 shares sold, totaling 200,000 shares.

Volume merely reflects the number of transactions. It can be measured by the number of shares traded and the amount traded.

Understanding volume

In general, stocks with high trading amounts and rising prices trend to the upside. Conversely, bear markets usually result in low volume. This is also seen instock consolidation phases.

This term is an essential basis for judging the trend of a stock and provides a necessary basis for analyzing price action. Therefore, investors should pay close attention to stocks with odd numbers of fluctuations.

The total lot is the total number of shares/contracts/etc. The current lot is the units of that asset that were just traded. The unit of volume is shares or lots, with one lot equalling 100 shares.

Volume in technical analysis

Before we get into volume's application in this field, we need to know what volume andtechnical analysis是。这两个概念对于在技术分析框架中理解它至关重要。

Volume analysis examines the number of stocks or contracts traded in a given period. This analysis is one of the many factors that inform technical analysts' trading decisions.

To determine the importance of changes in the price of a security, investors can analyze trends and price movements.

Technical analysis is the sum of methods for making trading decisions in stocks and all financialderivatives by studyingmarket behavior (like price action) to determine market trends and profit from cyclical changes.

The technical analysis considers that market behavior embraces and digests all information, that prices fluctuate in a trendy manner, and that history repeats itself.

Among investors, two indicators are popularly used. They are designed to incorporate volume into trading decisions using technical analysis.

Both the Positive Volume Index (PVI) and the Negative Volume Index (NVI) are based on the previous day's trading amount and the market price of a security.

When PVI is adjusted, the number of trades for the day has increased compared to the previous day; when NVI is adjusted, the trading amount is lower than the number of transactions from the last day.

These basic indexcalculations show how trading amounts affect prices.

Volume in trading

Volume is the number of transactions of a particular unit bought and sold during a specific period.

它直接反映了市场供求；当需求超过供应时，投资者会争先恐后地购买，而且价格自然会上涨。相反，当需求超过供应量时，买家很少，交易量缩小，股票价格肯定会下跌。

A change in the number of trades reflects a shift in the market's popularity and determines possible future market trends.

Volume trading refers to extremely active market trading. It usually occurs at market turning points.

This type of tradingrepresents a divergence长边和短两侧之间的景色。一方面，有些人是看跌的，正在出售，而另一些人则通过大量购买而对市场的未来看涨。

交易中收缩的对立面是一个高度光市场，并发布了交易量。它通常发生在趋势加速时期。它代表了大多数人对后期趋势非常同意的时期。

This type of market is further divided into two situations. One is very bearish on the market, resulting in only people selling, no one buying, and a contraction down. The second is very bullish, resulting in only people buying, no one selling, and shrinkage.

当主要力量打算拉起时，交易量通常非常重要。然后，几天或几周后，体积缓慢增长，股票价格慢慢提高。在这一点上，最近的价格图中形成了类似土墩的模式。

It is a regular market feature for prices to rise as the number of trades increases incrementally. Therefore, it indicates that prices will continue to grow in the future.

在任何阶段都可以突然发布巨大的交易量。突然释放了一个中间的体积rallyusually indicates that the strength of multiple parties has been exhausted. It will be challenging for the market to continue rising.

体积分析

Stock volume is a reflection of the popularity of the stock. The higher the number of trades, the more money moves and the more in-demand the asset is. Conversely, the lower the amount, the less attention the stock is getting.

Investors analyze this mainly by looking at the changes in the red and green columns representing volume in conjunction with price action.

绿色蜡烛表明，在此期间，积极的购买比积极销售更重要，代表着上升。

If the stock price shows increasingly long red bars at lower levels, the stock will be in a rebound phase. At this point, you can watch for further future pressure. You can hold the stock if it is far from the pressure level.

Suppose a green column at high levels is getting longer and longer. In that case, it means that the stock is actively traded but also indicates that many investors are selling the stock, so it should be analyzed in conjunction with the averages, pressure levels, etc.

红色条表示：主动销售比同一天或目前的积极购买更为显着，代表下降。

如果长时间简洁了红色的柱子，那么该公司的股票价格目前很少关注，股价可能是合并的或负面趋势。另一方面，如果高红色的柱子越来越大，那么资金就会离开市场。

交易数量与价格变化之间的相关性

The number of trades determines price changes. It is one of the primary sources of price change. However, many investors are not aware of the law of volume change.

Price candle analysis can only read the market's language and understand the subtleties of stock price changes if combined with an analysis of the volume.

交易的数量是价格变化的核心驱动力，其在现实世界中的技术分析中的状态是自我解释的。

在实际交易日，只有少数与交易数量相关的重大事件为短期交易者提供了信号。

关于体积，板上通常有四种情况：

1.固定价格随着交易的增加而

The price is flat, and the number of trades is increasing, which is a substantial signal price. Therefore, stabilization should occur after a sustained decline/flat in stock price, ultimately leading to an increase.

At this time, the positive (buy) column is significantly larger than the negative (sell) column, indicating that the bottom could be nearing due to the accumulation of upward momentum.

因此，这是库存强力的信号。结果，一些交易者可能会选择long并坚持上升。

2.增加价格和交易

价格上涨和交易增加是值得积极遵循的购买信号。

Trading amounts continue to increase, and the stock price trend is also upwards. This increase is the best short- and medium-term buy signal and the most common way to actively attack the long term.

Especially when the bottom area breaks through a critical neckline or another significant technical pressure level, there is a greater need for the price to rise and the number of trades to increase.

3. Increasing price with flat volume

The price is up, and the number of trades is flat, so you can continue to buy. The trading amount stays relatively equal, and the stock price continues to rise, allowing for timely and moderate participation.

Generally speaking, a rise in stock price needs to have an increased number of trades as the cornerstone of the rise. Therefore, this phenomenon of stock price rising while the number of transactions maintains a relatively stable level can be said to be a particular case in the market.

4.价格上涨和数量下降

价格上涨和交易数量的下降表现出一种分歧现象，通常会引起交易者的特别关注。

Trades decrease in occurrence while the stock price continues to rise. Therefore, the most appropriate decision is to continue holding. However, start to look for a good exit, as a reversal could occur soon.

目前，价格正在稳步上涨。这远非显着增加的开始，因此为什么两个指标之间存在差异。

Aggressive bullish investors can continue to participate, holding for further gains. However, it is essential to be cautious.

由Zezhao Fang进行了研究和撰写。LinkedIn

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