Trading Volume
Number of shares traded during a given period.
Definition
Trading volume represents the total number of shares exchanged between buyers and sellers during a specific time period, usually one day. Average daily volume provides a baseline for identifying unusual trading activity that may precede significant news or price moves.
Why It Matters
Volume confirms price moves—a price increase on high volume is more significant than one on low volume. For bank stocks, volume spikes around earnings and FOMC announcements can signal institutional positioning.