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I’m still pretty new to day trading and I’ve been trying to synthesize the many concepts together. It’s definitely several concepts which all happen simultaneously
Throughout my learning, I’ve grasped that volume is important. One book said that it establishes the “mood” of a price move. For example, less volume implies less interest
My own understanding is that it’s like the fuel that powers a move, therefore it needs volume to “go”. However I’ve seen decent moves on low volume bars and moves that failed on large volume
What am asking is, how do you define the importance of volume and using it? Is my assessment correct?
Also, I notice that simply finding stocks with big daily volume on scanners doesn’t necessarily mean a stock that’s moving. It’s frustrating when a stock just wanders directionless and I’m thinking it’s due to lack of volume but lmk, thanks
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