The three meanings of trading volume under different trends are different:
1. Upward trend; the callback shrinking or flat volume under the upward trend indicates that large funds are reluctant to sell, and there is a motivation to continue to set new highs. However, a huge volume released in the callback is not a good phenomenon, especially when there is a certain increase, it often represents the beginning of a callback, indicating that large funds are shipping at this position, at least in the short term, a callback is needed.
2. Downward trend; the initial decline and large volume in the downward trend is not a good thing. The large volume decline indicates that the main funds are not optimistic about the coins they hold, which is generally the beginning of opening the downward space. After a period of decline, both large and small volumes are good things. Large volume indicates that funds are optimistic and begin to enter, and small volume indicates that there are fewer and fewer selling orders, and there is no more room for decline.
3. Oscillating trend; most of the trading volume in the oscillating trend is invalid, and it depends on the trading volume for a period of time. Low-level oscillation and large volume are generally the performance of building a position, and high-level oscillation and large volume are generally the performance of shipping. When breaking through the oscillating trend, the success rate of large volume is very high, and the success rate of not releasing volume is very low. If the volume increases and the price closes in a positive direction at the lower edge of the oscillation zone, it generally indicates that the correction is in place and the price starts to rise. If the volume increases and the price closes in a negative direction and falls below the lower edge, it generally indicates the beginning of another decline.