Technical Note | $AVA | 1-hour trading volume up 5.8x | Price up 4.39%
First, a definition: When trading volume surges, the order-book spread and slippage often widen as well, so chasing the market with a market order can be costly.
A common interpretation: If volume quickly falls back after a surge, it’s often just a brief pulse. A sustained increase in volume is more noteworthy.
Indicators can fail, but stop-losses shouldn’t be skipped: Decide in advance what you’ll do if you’re wrong—it matters more than whether your prediction is right.
First, a definition: When trading volume surges, the order-book spread and slippage often widen as well, so chasing the market with a market order can be costly.
A common interpretation: If volume quickly falls back after a surge, it’s often just a brief pulse. A sustained increase in volume is more noteworthy.
Indicators can fail, but stop-losses shouldn’t be skipped: Decide in advance what you’ll do if you’re wrong—it matters more than whether your prediction is right.