Volumes: How to analyze and use them in trading?

Volume of transactions is an important indicator that helps traders better understand market activity and trends. High volume often indicates the strength of a trend, while low volume can signal its weakening. Analyzing volumes allows for predicting potential reversals or continuation of movement. One popular method is using volumes in combination with other indicators, such as candlestick patterns or support and resistance levels. Correct interpretation of volumes helps improve the accuracy of market entry and exit.