easy · Volume Spread Analysis supply-demand-smart-money

Why is the classification of 'Relative Volume' more important than 'Absolute Volume' when analyzing a stock?

  1. Because the market-maker only reports relative figures to the public to prevent them from seeing the 'truth'.
  2. Because relative volume accounts for the number of short-sellers versus the number of long-buyers.
  3. Because 5 million shares may be 'quiet' for a massive stock but 'ultra-high' for a small-cap stock.
  4. Because absolute volume figures are hidden by the 90-minute reporting delay on all exchanges.

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