The volume indicator helps to understand the market by the number of transactions.
An indicator is a certain number reflecting the number of deals made in a specific time interval.
The indicator can act as an indicator of the strength of the movement, acting as a confirming factor of the movement of the fall or growth of the market price.
The information is analyzed in three directions: cluster analysis and analysis of horizontal and vertical volume.
Vertical volume – data on the number of deals made in the form of columns below the chart, the time period of which depends on the selected time frame.
The horizontal volume reflects the interest of traders to a certain level, the construction comes from the levels, respectively, and prices.
Cluster analysis is an indicator of a single candle, which shows its volume for the entire period of formation.
Learn this topic and gain experience, indicators that have an increased impact on the price movement will help you earn more.