Volume is a measure of a company’s liquidity. Basically, it is the amount of shares that get bought and sold throughout a day compared to other stocks. In general, stocks with a low volume suffer huge fluctuations, which is why many traders will traditionally avoid stocks with low volume. This is because a low volume stock can be very expensive to buy and also difficult to sell, making them difficult stocks to deal with. As you can see, tracking volume is very important in deciding whether or not to buy a stock. It is easy to track a stock’s volume
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