Trade volume refers to the total quantity of goods or services traded within a specific period, often measured in units or monetary value. It provides insights into market activity and liquidity, indicating how actively participants are buying and selling. Higher trade volumes typically suggest a more active market, while lower volumes may indicate less interest or participation. In financial markets, trade volume can apply to various assets, including stocks, bonds, and commodities. For example, in the stock market, trade volume reflects the number of shares exchanged during a trading session, helping investors gauge market trends and make informed decisions.