North American Cannabis Holdings Inc (USMJ)

[keepdreaming132]

Volume does not really determine if a stock will go up or down. In stock like this thats way below penny, anyone can buy/sell shares in the millions. someone can buy 10 Million shares and that will count toward the 10 Million in volume or sell 10 million shares and that will still counts toward the volume for the day.

Volume and its Meaning

Volume is one of the most basic and beneficial concepts to understand when trading stocks. Volume is defined as, “the number of shares or contracts traded in a security or an entire market during a given period of time.” What this means is that each time a person sells or buys shares of a stock, that is considered volume.

Tallying volume is done by the market exchanges and reported via every major financial website. To tally volume, simply add the traded shares for each order on the fly. For example:

Trader 1 Buys 100 shares of stock
Trader 2 Buy 500 shares of stock
Trader 3 Sells 1000 shares of stock

Total volume is then 1,600 shares for this sequence. Again volume increases regardless if it is a buy or sell order.