A lot of people mention things like "low-float stock" or "x-amount of shares outstanding" in the chatroom and I'm confused.

I understand that floating stock is the # of shares outstanding in a stock. And that low float stocks tend to be more volatile and can have wider bid-ask spreads.

I feel like I'm missing something here though. How do I consider a stock's float or x-amount of shares outstanding or the short float % or the shares float when making my Watch List and in trading a stock?

 

Please advise. Thank you!

roziebear