Trading volume is the total number of shares, contracts, or units of a financial asset that are bought and sold during a specific period. It shows how actively an asset is being traded in the market. Volume is usually measured per day but can also be tracked intraday. 

Trading volume indicates the level of market activity and liquidity.

High trading volume often means that many investors are participating and that it is easier to buy or sell without significantly affecting the price. Low volume can signal limited interest or lower liquidity, which may lead to larger price swings.

Traders frequently analyze volume together with price movements to confirm trends. For example, a price increase accompanied by rising volume may suggest strong buying interest, while a price move on low volume may be less reliable. Volume itself does not predict direction, but it helps interpret the strength behind price changes.

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