Report post

What is volume in forex?

Volume in forex is the number of lots traded in a currency pair within a certain time period. In other words, the amount of currency bought and sold. Volume on its own means very little, but in the context of price action and momentum, it can tell us whether trends are likely to continue or not.

Why do forex charts show only volume?

This is because Forex trading is a decentralized market. Since there isn't a primary exchange that all transactions run through, there is no way to count how much currency is being traded at any one time. So what you are seeing on your FX charts is only the volume that your broker sees.

Why is trading volume important?

Trading volume is a key metric used to assess activity levels across markets – including stocks and currencies. Find out why trading volume is important and how to use it in your trading strategy. What is trading volume? Trading volume is the total number of an asset that were traded during a given time period.

What is a tick volume in forex?

Tick volume shows market activity and how many traders are currently participating in transactions. A single tick in forex represents a transaction – not its monetary value. In futures markets, a tick can refer to the smallest possible change in the market price, which is located on the right side of the decimal.

Related articles

The World's Leading Crypto Trading Platform

Get my welcome gifts