Knowing which stocks are most actively traded can provide investors with information about the liquidity of the securities, insight into the market’s sentiment towards the company and how likely it is that prices will rise or fall. Many financial websites provide a list of the most active daily, monthly or yearly. Below, we will discuss sites that provide additional advantages, such as more detailed lists, the ability to customize lists, and information that is usually located behind the paywall.
Importance of transaction volume
Average daily trading volume is an important statistic that traders and investors need to understand. The trading volume is the number of stocks or contracts in the transaction in a given time period (usually a day). The importance of trading volume is that it can help traders determine how and why securities move in a certain way. Tracking trading volume can provide information about how a particular stock is performing, the factors that drive the stock price, and how strong or weak the trend might be. For example, if a stock starts to rise and is accompanied by high trading volume, it indicates that the upward trend will continue. If a stock trades up and is accompanied by low trading volume, it indicates that the trend may be weak and quickly reversed. Trading volume can also provide clues about the possibility of future price changes. When there is company news or new material related information, stocks usually have a higher trading volume. For a stock to move sharply or break through resistance levels, high trading volumes are usually required. The greater the volume, the greater the possibility of price changes, which will lead to strong price momentum.
Where can I find transaction volume data
Many trade publications, newspapers and financial websites provide daily transaction volume data. For example, Yahoo! Finance provides the following information on its market data page.
The Wall Street Journal also provides an interesting feature; a link to historical data of the most active stocks on any given date in the past. This data can be downloaded and used to analyze price changes related to many other variables. Similarly, historical data on New York Stock Exchange stocks can be found on nyxdata.com.
In addition to the most active stock data for daily trading, you can also find weekly and monthly trading volume leader and laggard data, although these data are not as widely distributed as the most active daily data.This Financial Post Allow users to view the most active weekly data on their market data page. It groups its most active people by the entire market and market transactions.
Monthly data is a bit hard to find. Many sites provide this data as part of membership, but some sites allow access without membership rights.For example, marketvalue.com allows users to view Stocks with the largest monthly trading volume And non-members with the largest daily and annual transaction volume.
Understanding the trading volume and its relationship with current stock price trends can help traders judge the importance of trends and even predict future trends. When this information is added to other technical and fundamental analysis data, it can improve the stock chart and help traders make informed investment decisions. Abundant financial websites make it very convenient to find the most actively traded stocks, especially the most active stocks every day.