Volume

What is Volume in CFDs Trading?

Trading volume is the amount of an instrument traded during a Specific duration, such as one minute or one day. In simple terms, volume in trading shows how active the market is. Higher volume means more participation and often stronger moves. Lower volume means quieter markets.

For currencies, many CFD platforms display tick volume. This counts price changes as a proxy for fx volume because there is no single exchange that reports volume in forex.

Why Volume Matters

• Confirms moves. Breakouts with high trading volume are more likely to be genuine.
• Helps spot reversals. Sudden spikes can mark turning points.
• Aids risk control. Thin markets with low volume can slip more and widen spreads.

How Volume Appears on Your Platform

You will usually see a dollar index-style vertical histogram under price candles. Taller bars mean higher volume during that candle. Many traders use simple volume trading rules, such as “trade breakouts only when volume expands.”

Example of Volume

EURUSD rallies from 1.10201 to 1.10420 during a 15-minute candle, while volume bars are much taller than the prior bars. That suggests strong participation behind the move. If the next push occurs on lower volume, the momentum may be fading.