Volume is the number of shares traded in a period. It’s a measure of participation — how much real activity is behind a price move.
Why volume matters
A price move on heavy volume reflects broad participation and is generally seen as more meaningful than the same move on thin volume. Big moves on low volume can be fragile.
Relative volume (RVOL)
Raw volume is hard to compare across stocks — a large cap trades millions of shares while a small cap trades thousands. Relative volume fixes this by comparing today’s volume to the stock’s own recent average:
- RVOL of 1× — average activity.
- RVOL of 2×+ — unusually busy; something is drawing attention.
How it’s used
Traders often scan for stocks with high relative volume to find where activity is concentrated, then look at the chart and any news for context. Like every indicator, RVOL describes what is happening, not what will happen.
In the Screener, Rel Vol is a column you can sort and filter on.