ELI5: Explain Like I'm 5

Capital, Volume I

Capital and volume are two words that refer to different things in financial markets. Capital usually means the money that a person or company has available for investing, such as cash. Volume is the amount of trading that happens on a stock exchange or other financial market over a certain period of time. For example, if a lot of people want to buy a certain stock, the number of trades going on in the market is the "volume". By looking at the capital and volume of a financial market, investors can get a sense of where prices are going.