High Volume?

[Lord Lister]

What would be considered as high volume? For example a stocks avaerage volume is 225000 today it traded 250000, whilst that is obviously higher than average (about 10%), would that be considered a high volume day or just typical swing volume?

How mnay would need to change hands for this example to be a high volume day?

 

[Mr. Charts]

This is a matter of semantics and I'm not at all sure whether anyone's individual definition of "high" has any significance at all.
Perhaps you might consider looking at a daily volume bar and simply seeing if the day's volume stands out from the previous ones.
Also consider the effect - if any - significant volume has had on price.
Also have some idea of context in the sense of whether it is a different day for other reasons, e.g. is it the day before a long US weekend holiday, or is the FOMC meeting, is it options expiry etc.
Richard

 

[Roberto]

a stocks avaerage volume is 225000 today it traded 250000, whilst that is obviously higher than average (about 10%), would that be considered a high volume day or just typical swing volume?

You need more information to answer that question. You need to know what the variability is of the stock's average daily volume. I'd suggest that if the stock's volume has been 225,000 plus or minus only 1 or 2% per day (which I doubt very much) then 250,000 could possibly be significant (just about); but if the variability is more like 40,000 - 50,000 per day over the last month or two averaging out at 225,000 per day (which I'd think is normally far more likely) then the figure of 250,000 for today probably doesn't mean much at all.

 

[des44]

This is a matter of semantics and I'm not at all sure whether anyone's individual definition of "high" has any significance at all.
Perhaps you might consider looking at a daily volume bar and simply seeing if the day's volume stands out from the previous ones.
Also consider the effect - if any - significant volume has had on price.
Also have some idea of context in the sense of whether it is a different day for other reasons, e.g. is it the day before a long US weekend holiday, or is the FOMC meeting, is it options expiry etc.
Richard

Agreed. You might want to keep life simple for yourself and follow the advice of Mr. C. by simply viewing the daily volume bars for perhaps 6-months to give you a nice visual range of what the norm is for any given stock's trading volume. The large volume spikes will stick out giving you a reference to its relative ranges to itself.

May I ask why you are asking this question? This might spark some more input from others.

d-

 

[Lord Lister]

Agreed. You might want to keep life simple for yourself and follow the advice of Mr. C. by simply viewing the daily volume bars for perhaps 6-months to give you a nice visual range of what the norm is for any given stock's trading volume. The large volume spikes will stick out giving you a reference to its relative ranges to itself.

May I ask why you are asking this question? This might spark some more input from others.

d-

PS. How's sunny Florida? Cold and rainy here in Indiana.

Can't say about Florida I'm in Plymouth UK and its cold.

I am interested because a stock I have been picking up went up 2.6% today on the volumes stated. Cattles PLC London ctt (I think) if your interested. I got in at 346 and have been adding a bit here and there. It closed today at 386. Just trying to figure out the way it interacts with volume and whether there will be more follow through. My target is around 430.

Bare in mind I am learning so this is more about experimenting than anything. Any further input will be gratefully received.

I have just checked the historical volume, and it seems 250000 is nothing out of the ordinary.