[[Start here]] → [[Sources]] → Gervais, Kaniel & Mingelgrin (1998) --- Surprised to find this study - the key insight is that [[high trading volume often leads to short-term strength]]. It’s a pretty robust effect - as Gervais says in the paper: > Stocks experiencing unusually high (low) trading volume over a period of one day to a week tend to appreciate (depreciate) over the course of the following month… [the effect] appears to be permanent. It’s quite an odd effect, as even if you remove the biggest winners/losers during the lookback period - i.e. high volume with flat returns - the future price strength is even higher. The original paper is [available here](https://rodneywhitecenter.wharton.upenn.edu/wp-content/uploads/2014/04/9901.pdf).