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  • red

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    6 months

    Low volume but big red candle?

    I had a question on volume. If there is a big red candle (larger than prior green candles), but the volume associated with that red candle is small, what does this mean? I can't wrap my head around that. I know from a TA perspective, price action is more meaningful when there is more volume associated. Could someone explain what it means when there is a big red candle but relatively small volume? Does this mean there were no buyers so price moved down to find buyer price with small "exchange" in shares? EDIT: I posted pic for example. You can see the small volume for red candles. https://preview.redd.it/o1romj2v039e1.png?width=355&format=png&auto=webp&s=f649fc4c6ac4759c4ffd38638ba0fab371e0c1a4
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