Technical Note | $ZEREBRO | 5-minute volume up 16.4x | Price up 5.33%
First, a definition: Trading volumes in futures and spot markets often differ significantly. Futures volume includes a great deal of leveraged turnover, so the two figures don’t mean exactly the same thing.
A common way to read it: If volume quickly falls back after a spike, the burst was probably just a brief flurry of activity. If elevated volume is sustained, it’s more noteworthy.
The same reading can mean very different things in different market conditions, so don’t apply a single rule across the board.
First, a definition: Trading volumes in futures and spot markets often differ significantly. Futures volume includes a great deal of leveraged turnover, so the two figures don’t mean exactly the same thing.
A common way to read it: If volume quickly falls back after a spike, the burst was probably just a brief flurry of activity. If elevated volume is sustained, it’s more noteworthy.
The same reading can mean very different things in different market conditions, so don’t apply a single rule across the board.