---
title: "Definition of Volume"
url: https://signalscreener.fr/definition/volume/
markdown_url: https://signalscreener.fr/definition/volume.md
description: "Volume is the number of shares traded in a day."
type: glossary-definition
site: Signal Screener
language: en
keywords:
  - "Volume"
  - "Trading Volume"
translations:
  es: https://signalscreener.fr/es/definition/volume.md
  fr: https://signalscreener.fr/fr/definition/volume.md
---

# Trading Volume

## What is Volume?

Volume is the number of shares traded in a day. High volume means lots of trading activity. Average volume (3M) shows typical daily trading over 3 months.

## Think of it like this

Imagine a flea market. One booth sells 10 items per day (low volume, illiquid). Another sells 1,000 items (high volume, liquid). It's easier to buy or sell at the busy booth!

## Formula

```
Average Volume = Sum of Daily Volumes / Number of Days
```

## Why it matters

- Shows liquidity - can you sell easily?
- High volume means easier to trade
- Volume spikes signal major news or events
- Low volume means wider bid-ask spreads

## Real-world example

Apple volume: 50M shares daily - very liquid, easy to trade. Small cap stock: 50K daily - might be hard to sell large position quickly.

---

This is educational content, not financial advice.

Source: [Definition of Volume](https://signalscreener.fr/definition/volume/) on Signal Screener. Free to quote and cite with attribution and a link to that URL, which is the canonical one.

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