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Finding/confirming Low Volume


HOwdy and good evening,

When calculating / determining low trade volume, is it safe to assume that anything less that avverage volume for that day would be considered low volume category? And does that average volume need to be calculated on a day aggregation period, 4hr or 1hr or less etc?

I am attempting to determine if price is moving upward, is volume low or moving upward along with price action.


Staff member
I think it's up for interpretation based on how you define "low" based on your trading style.

But according to this article:

Low-volume stocks typically have an daily average trading volume of 1,000 shares or fewer. They may belong to small, little-known companies trading on the OTC stock exchanges, but can also be traded on major stock exchanges.


@BenTen Thanks. I know that low volume would be consider "relative" in definition. i reckon was just trying to get a common practice guage to where that line in the sand exists. i dont think I ever see the SPY at 1k or less in volume so it definitely maybe dependent on the underlying instrument. I'm trying to take the price action as it rises and check the volume to see if there "low volume". If there is, then my logic is that a pull back / reversal could be coming....