Glossary
Volume: meaning, example and why it matters
The number of shares or contracts traded in a period. It shows how actively something traded, not the direction of the price.
Worked example
If 2,00,000 shares traded today against a usual 1,00,000, volume is twice its usual level. It shows how much traded, not who was driving the move.
Illustrative numbers for explanation only. They are not market data, a forecast or a suggestion.
Why it matters
Volume shows how actively something trades, which affects how easily you can enter or exit at a fair price.
Related terms
See it in practice
Frequently asked questions
Does high volume mean a price will keep moving?
No. It shows activity, and activity can happen on rises, on falls and on days with little net change.
Is this page investment advice?
No. Volume is explained in general terms with illustrative numbers. Market Dekho is not a SEBI-registered Research Analyst or Investment Adviser.
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Educational content, not investment advice. Market Dekho is not a SEBI-registered Research Analyst or Investment Adviser. Spotted a mistake? Email marketdekho01@gmail.com.