easy · Volume Spread Analysis effort-vs-result-spread

According to the practitioner's guide, what is the standard method for calculating relative volume for daily analysis?

  1. Dividing the current bar's volume by the average volume of the prior 20 bars.
  2. Comparing the current volume only to the volume recorded on the same day of the previous week.
  3. Dividing the current volume by the total number of shares outstanding for the company.
  4. Subtracting the previous day's volume from the current day's volume.

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