Stock Volume

Stock volume is the number of shares traded(bought and sold) in a given day. A high volume is a good indication of a stocks liquidity(availability of buyers and sellers). An investor trading a high volume stock can normally complete his/her trade(buying/selling) immediately with a favorable price. Low volume stock investors, on the other hand, may have a difficult time executing their trade immediately or in getting a favorable price for their trade. In addition, a low volume stock may be manipulated relatively more easily by large players in the market. To get the total dollar amount of shares traded in a day to compare with other stocks multiply the stock volume with the stock price.

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