#VolumeSignal
How Trading Volume Signals Market Movement
Volume is one of the most powerful indicators in trading—it shows us the strength behind a market move.
When the price goes up on high volume, it suggests strong buying interest, increasing the likelihood of a sustained uptrend. This means many participants agree on the price increase, adding confidence to the move.
On the other hand, if the price rises on low volume, it may indicate weak interest or a temporary spike—often a sign of an upcoming reversal.
Similarly, when prices fall on high volume, it signals strong selling pressure and could confirm a downtrend. But a drop on low volume may not be reliable and could be a short-term correction.
Bottom line: Volume helps us read the story behind price moves. Always watch how much “fuel” is behind the price action before making decisions.
Trade smarter. Stay informed. #Binance #CryptoTrading #MarketTips
Volume is one of the most powerful indicators in trading—it shows us the strength behind a market move.
When the price goes up on high volume, it suggests strong buying interest, increasing the likelihood of a sustained uptrend. This means many participants agree on the price increase, adding confidence to the move.
On the other hand, if the price rises on low volume, it may indicate weak interest or a temporary spike—often a sign of an upcoming reversal.
Similarly, when prices fall on high volume, it signals strong selling pressure and could confirm a downtrend. But a drop on low volume may not be reliable and could be a short-term correction.
Bottom line: Volume helps us read the story behind price moves. Always watch how much “fuel” is behind the price action before making decisions.
Trade smarter. Stay informed. #Binance #CryptoTrading #MarketTips
