Posted in Finance, Accounting and Economics Terms, Total Reads: 425
Definition: Uptick Volume
Uptick Volume as an example is as, suppose the share price of company changes from $9 to $10 for 30min and in that time suppose about 1 million shares are traded. So these 1 million shares are called Uptick Volume.
So basically it is the volume of securities that is traded when its price increases.
Uptick Volume is usually a part of different types of technical trading strategies and is also a measure of momentum. Usually when the Uptick volume is more than Downtick volume, it means that there is a huge demand for the share of the company and it is said that the stick is hot. And when Downtick is more than Uptick we easily conclude that the stock prices are on a down slopping trend. Uptick rule ensures that the short sellers do not hammer down the stock relentlessly.