Average Daily Volume

Submitted by Sharemarket News on 20 April, 2011 - 14:51

Average daily volume (ADTV) describes the number of shares traded during the day. To come up with average daily volume, divide the annual volume by the total number of working days in the year. ADTV is used to determine changes in trading patterns. In general, low ADTV stocks usually sell at low prices while high ADTV stocks are stable.

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