[Nick1984]

I think that the huge volume on the market downtrend after last week was most likely due to a lot of stops being hit and it snowballed. With the large decline in price we saw plenty of buyers coming into the market to snap up bargains. A lot of these traders were longer term traders I think who saw these new lows as a great opportunity to top up their positions.

I'd expect that the lower volume on the rally is due to a bit of trepidation amongst buyers. Newer traders especially who might not have had the confidence to buy into a falling market would of waited until the rally was well underway before committing therefore volume on the rally is effected.

Specifically, i think that you need to take the daily volumes as being relative to eacother. Lower volume on the rally relative to the higher volume on the decline shows weaker support for the buyers!

I would say that you can make a more informed decision as to the normality of this new volume within the next few days for it could just be an abberation.

Im speaking of my own local markets of course but I'd assume the same applies to all you traders who trade the US markets!

Not sure if that answered your question lol.