Get started

Volume Profile

Trading The Weekly Point Of Control NZD/JPY – Volume Profile 📊Hello guys, today’s day trading analysis will be focused on trading Weekly Point Of Control (POC) on NZD/JPY. Since the start of this week, the NZD/JPY was more or less just rotating. There were heavy volumes accumulated in that rotation. You can see that nicely with my Volume Profile indicator. When the volumes were accumulated it was very hard (almost impossible) to tell what was going on in that rotation. Was is Buyers getting ready for a big move? Or Sellers? But now we know. There were strong institutional Buyers who were building up their Long positions slowly and unnoticed there. Then those strong Buyers manipulated the price to go upwards. How? By using aggressive Market Orders. Those trading positions accumulated in the rotation were so huge, that this area also became the Weekly Point Of Control (POC). This means that the heaviest volumes in this week (so far) have been traded there. Exactly at 76.90. Buyers Defending the Weekly POC This weekly POC is now a very important area. The reason is that those strong institutional Buyers placed huge trading positions there. When the price makes it back into this area again in the future, then it is very likely that those Buyers will want to defend it. This zone is very important for them – they placed huge amounts of volumes there. So they will fight and try to push the price upwards from there again. This is why I think this zone will work as a strong day trading Support. This Volume Profile setup is called the “Volume Accumulation Setup” and it is especially strong when a strong trending activity starts from the Weekly POC. Like in here. I hope you guys liked today’s analysis! Let me know what you think in the comments below. Happy trading! -Dale
by Trader_Dale
1
GBP/JPY: Day Trading Analysis With Volume Profile 📊On GBP/JPY is nice to see strong sell-off from the price 151.680 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that sellers from this area will be defend this short position... and when the price come back to this area, strong sellers will be push down the market again... Strong sellers + Downtrend + Strong volume area is my mainly reason for this short trade.... Happy trading Dale
by Trader_Dale
6
EUR/NZD A Simple Volume Profile Analysis 📊 Hello guys, today I would like to show you a nice day trading Support on EUR/NZD. In this case, the analysis is pretty simple as the Support is based only on one trading setup and not on more (as opposed to yesterday’s analysis where I used three setups together). Volume Profile – Trend Setup EUR/NZD has been in an uptrend since the start of this week. When there is an uptrend I am always interested in how the volumes were distributed there – in the trend. For this, I like to use my Volume Profile indicator. In this case, it shows a really strong volume area that got created around the middle of the uptrend. In fact, this heavy volume area is this week’s Point Of Control (POC) – which means that the heaviest volumes in this week got traded there. When there is a significant volume area within a trend, then I call it a “Volume Cluster“. Volume Clusters are significant places because they point us to the most important areas in the trend – areas where the big guys (big trading institutions) were trading the most. In the picture above you can see that the heaviest volumes in the Volume Cluster got traded around 1.6825. This tells us that strong Buyers who are pushing the price upwards were adding to their Long positions massively there. This zone is now very important for them because they placed a lot of their volumes (positions) there. Wait For A Pullback When the price makes it back into this area again then those Buyers are likely to defend this zone. It is important for them. They will defend it by placing Market Buy orders which should manipulate the price to go up again. This is why I think this 1.6825 zone will work as a strong Support when the price reaches it at some point in the future. The setup is one of my favorite Volume Profile setups. It is called the “ Trend Setup ” because I trade it when there is a trend. I hope you guys liked this analysis. Let me know what you think in the comments below! Happy trading! -Dale
by Trader_Dale
USD/JPY : Volume Profile 📊 and Price Action Analysis 📋Hello guys, in today’s daily analysis I will talk about a newly formed Support on USD/JPY. Yesterday, there was a long rotation on USD/JPY. Nothing special, really. But what made this rotation interesting was the strong buying/trend activity that followed in today’s Asian session. Why? When there is a rotation followed by an uptrend, then it indicates that strong Buyers were building up their Long positions in that rotation. They were doing so slowly and unnoticed. Then they pushed the price aggressively upwards. Volume Profile Analysis When I see a rotation followed by a trend, I use my Flexible Volume Profile and I check out the volume distribution in that rotation and trend area. What I want to see is heavy volumes in the rotation. Exactly like in the picture! Those heavy volumes show the big institutional market participants getting into their Longs. When the price makes it back into this zone (in this case around 110.36) then those institutional traders should defend this zone. Why? Because they placed a lot of their Long positions there. This zone is important for them! They will want to defend this zone by pushing the price upwards from there again. That’s what makes this zone a strong Support. This trading setup is one of my favorite Volume Profile setups. I call it the “Volume Accumulation Setup“. Weekly Point Of Control A nice addition to this is that our zone around 110.36 is also the Weekly Point Of Control (POC) . This means that the heavies volumes from this week were traded there. A strong trend activity commencing from a Weekly POC is always a very important thing to notice as the Weekly POC represents the most important price level from the whole week. I hope you guys liked today’s analysis! Let me know what you think in the comments below. Happy trading! -Dale
by Trader_Dale
1
NZD/CAD Swing Volume Profile 📊 and Price action analysis 📋Hello guys, in yesterday’s article, I was talking about a trading opportunity that occurred after a strong trend day. It was a day trading opportunity on AUD/CAD . In today’s post I am going to show you exactly the same trading setup as yesterday, only on a higher time frame – on Daily chart . Such time frame is suitable mostly for swing trading (position trading). What I want to demonstrate with this is the versatility of Volume Profile setups. You can use these setups for intraday trading as well as for swing trading. Setups remain the same, only time frame changes (and of course, your Take Profit and Stop Loss values should be adjusted too). Let’s have a look at it then! Volume Profile Analysis There has been a strong downtrend since the start of March on NZD/CAD. Within this downtrend, there were three places where the price stopped for a couple of days. In those places strong Sellers were adding to their Short positions. You can see that nicely with my Flexible Volume Profile . Simply use the profile on the whole trend area, and the heavy volume areas will show up! In today’s analysis I am going to focus on the lowest one – the one which is currently the closest. This heavy volume area (=Volume Cluster) got formed around 0.8958. It is very likely that in this place strong institutional sellers were adding to their Short positions. Then they pushed the price downwards some more. When there is pullback to this 0.8958 area again, then I expect those Sellers to start defending this zone. It is an important zone for them. This is why I think it will work as a Resistance. The setup used is called the “ Trend Setup ” – the same setup I used in yesterday day trading analysis. Price Action Analysis What I like about the volume-based Resistance is that it nicely aligns with a Price Action Resistance. If you check out the chart below, you will see that the price reacted to this zone in the past. The price bounced off it. This tells us that it was a Support in the past. Now, when the price shot past that former Support, it became a Resistance. Yea – that’s exactly the same Price Action setup I showed you yesterday! Only yesterday, this was on 30 Minute time frame, and today I am using the same setup on a Daily time frame. The setup stays only time frame changes. The setup is called “ Support→Resistance ” and the main idea behind it is that when a Support gets breached, it then becomes a Resistance. It is the combo of those two setups ( Volume Profile setup and Price Action setup) that makes this Resistance strong. I look for such setup combos with all my trades. I hope you guys liked today’s swing trade analysis. Let me know what you think in the comments below! Happy trading! -Dale
by Trader_Dale
4
AUD/CHF continue with the Downtrend 👇Hello guys, today’s focus will be on day trading analysis of AUD/CAD. There was a trend development on many Forex pairs yesterday. AUD/CAD was not an exception. A trend day usually creates many trading opportunities, like in here. Volume Profile Analysis If you use my Flexible Volume Profile on the downtrend that formed yesterday then you will see that there is one really significant area. This area is around 0.9645 and it is significant because heavy volumes got traded there – you can tell because Volume Profile is really wide there. What does this mean when you see it in a downtrend? It means that strong Sellers were adding to their Shorts massively there. Then they pushed the price downwards some more. When there is a pullback into this area at some point in the future those Sellers are likely to defend this place. They placed a lot of their Shorts there and this place is important for them. This is why it should work as a Resistance and the price should bounce off this place. This is one of my favorite Volume Profile setups and it is called the “ Trend Setup “. Price Action Analysis I really like to combine the Trend Setup with Price Action Setup called “ Support →Resistance “. It is my favorite two-setup combo. It goes like this: First, you identify the Trend Setup – that significant volume cluster created within a trend. Then, you want to see that the price has already reacted to this zone in the past. Like in the picture below. The price bounced upwards off this zone twice on Monday. This means it was a Support. When the price went past the Support yesterday, this Support became a new Resistance. The important thing is that this corresponds with the significant volume area which we identified using Volume Profile. A combo of two independent trading setups like these makes the Resistance strong. I hope you guys liked today’s analysis! Let me know what you think in the comments below. Happy trading! -Dale
by Trader_Dale
DAX: Position Trading Analysis With Volume Profile Hello guys, today’s analysis will be a bit different since I won’t be talking about day trading, but about long-term position trading. Maybe you remember a video called: How To Use Volume Profile For Long-term Investing . In this video, I showed you how you can analyze long-term trading opportunities on stock indices. Today, I am going to follow up and comment on another stock index – the German DAX. DAX – Waiting For A Pullback DAX is at its absolute highs right now. It has never been so high as it is now. As you probably know I don’t really advise to go Long when the market is at its highs. In fact, I am quite against this. What I prefer is to wait for a pullback and then jump in the Long trade. The only question is: “pullback to where?“ A rule of thumb is simply to the closest significant volume area. You can identify such area with my Volume Profile indicator. As you can see, there was a massive volume zone around 14.000. From this zone a strong buying activity started. This indicates that strong Buyers were building up their Long positions there – in that rotation around 14.000. Then they pushed the price aggressively even higher. When there is a pullback into this zone at some point in the future, then it should work as a Support. Strong Buyers who placed their Longs there should defend this zone. It is important for them. This is why I think this could be a nice opportunity to jump in a Long (if there is the pullback, of course….). If DAX shoots through the roof without any pullback, then no point in chasing it… Resistance Became A Support There is one more thing I like about this Support zone around 13900-14000. It is that this Support was a Resistance in the past. If you look at the chart below, you can see how strongly the price rejected this 13900-14000 area in the past. This means that it was a strong Resistance. Now, when the price shot past the Resistance and created a new all-time high, this Resistance became a Support. This is a simple Price Action setup which I not only use for Day trading or swing trading, but also for long-term position trading. You can learn more about this setup here: PRICE ACTION Setup: Resistance → Support I hope you guys liked the analysis. Let me know what you think in the comments below! Happy trading! -Dale
EUREX:FDAX1!
by Trader_Dale
NZD/JPY: Day Trading Analysis With Volume Profile 📊 On NZD/JPY is nice to see strong sell-off from the price 78.37 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that sellers from this area will be defend this short position... and when the price come back to this area, strong sellers will be push down the market again... Strong sellers + Downtrend + Strong volume area is my mainly reason for this short trade.... Happy trading Dale
by Trader_Dale
1
AUD/JPY Significant Volume cluster 📊On AUD/JPY is nice to see strong sell-off from the price 84.36 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that sellers from this area will be defend this short position... and when the price come back to this area, strong sellers will be push down the market again... Support from the past + Strong sellers + Downtrend + Strong volume area is my mainly reason for this short trade.... Happy trading Dale
by Trader_Dale
2
EUR/CAD Volume Profile 📊 and Price action analysis 📋Hello guys, in today’s day trading analysis, I would like to focus on EUR/CAD. There has been a pretty interesting development yesterday. First, there was a rotation in which heavy volumes were accumulated. You can see those volumes nicely with my Flexible Volume Profile tool. From this rotation, a strong sell-off started. This tells us, that there were strong institutional sellers building up their Short positions in this rotation. Those sellers were entering their Shorts there, and then they pushed the price downwards. They placed most of their volumes around 1.4893 – this is where the Volume Profile is the thickest. This area is important for them, because they placed most of their shorts there. For this reason they will most likely want to defend it when the price comes back in this 1.4893 area again. This is why I think the zone around 1.4893 will work as a Resistance. Sellers defending this zone should push the price downwards from there again. Weekly POC This 1.4893 area is also significant, because it is the Weekly Point Of Control (POC). this means that the heaviest volumes throughout this week were traded at 1.4893. When there is a Weekly POC from which a strong trend activity starts, then it usually represents a strong area just by itself. Just like in this case. I hope you guys liked today’s analysis. Let me know your thoughts in the comments below! Happy trading! -Dale
by Trader_Dale
5
NZD/CAD: Day Trading Analysis With Volume Profile 📊 On NZD/CAD is nice to see strong sell-off from the price 0.9001 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that sellers from this area will be defend this short position... and when the price come back to this area, strong sellers will be push down the market again... Support from the past + Strong sellers + Downtrend + Strong volume area is my mainly reason for this short trade.... Happy trading Dale
by Trader_Dale
4
AUD/JPY continue with the Uptrend ☝️On AUD/JPY is nice to see strong buying reaction from the price 83.85 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that buyers from this area will be defend this long position... and when the price come back to this area, strong buyers will be push up the market again... Resistance from the past + Uptrend + Strong buying activity + Strong volume area is my mainly reason for this long trade.... Happy trading Dale
by Trader_Dale
3
EUR/GBP: How To Combine Trading Setups – Day Trading Analysis 📋Hello guys, today I would like to show you a nice looking day trading opportunity on EUR/GBP. From last Friday to this Monday, there was a price rotation followed by a strong sell-off which took place later on Monday. This caught my eye because it is what I look for first when I search for places to trade my Volume Accumulation setup. A rotation followed by a sell-off indicates that BIG trading institutions were building up their Short trading positions in this rotation. Then they pushed the price into a sell-off. Volume Profile Analysis The first thing I do when I see such a development is that I use my Flexible Volume Profile in that rotation area to see how volumes were distributed there. I want to see a heavy volume bump with clear POC . Like here 🙂 If you look at the picture below, you can see that there were heavy volumes accumulated (traded) around 0.8610. This is where I think most of the sellers placed their Shorts. From this place, the sell-off started. When the price makes it back into this area those strong sellers will want to defend it. It is important for them because they placed a lot of their trading positions there. This is the reason why the zone around 0.8610 should work as a Resistance. When the price makes it to this zone at some point in the future again, I expect a selling reaction. The price should bounce downwards from there. Weekly Volume Profile Even though this is an intraday trading opportunity, I always look at the bigger picture – the Weekly Volume Profile. What I want from my day trading levels is that they are also visible on the Weekly Volume Profile. No need to be Weekly POC, but there should be at least a significant bump. In this case, out Resistance is very nicely visible there. In the picture below, I merged two Weekly Volume Profiles (because the rotation was created on Friday and Monday – that’s two weeks…). Our Resistance stands out really nicely as it represents the 2nd heaviest volume area in those two weeks. That’s the kind of thing I like to see! Open Drive One little addition to notice with this 0.8610 resistance is the Open Drive. Open Drive means that a day opens and the price goes one way only – right from the start. In this case, it went only down. The highest place the price was on Monday was when the market opened. Then, from this place it went downwards. I hope you guys liked today’s analysis. Let me know what you think in the comments below. Happy trading! -Dale
by Trader_Dale
4
NZD/USD: Volume Profile Analysis 📊Hello guys, there has been a really nice action on all the USD-related pairs during and after Powell speech (FED chair). USD strengthened all across the board and made new and nice trading opportunities. One of them is on NZD/USD. Before the speech, there was a rotation on NZD/USD. Such rotations serve the BIG guys ( big trading institutions ) well because they can hide their trading activity there. What they usually do is enter their big trading positions slowly and unnoticed in such rotations and then they push the price into a strong trend. In this case, I think that strong Sellers were building up their Short positions in a rotation, and from there they pushed the price into a new sell-off. Volume Profile Analysis If you use my Flexible Volume Profile indicator on the NZD/USD chart, you will see massive volumes were traded in that rotation that took place before the speech. Then there was the speech and the BIG guys pushed the price downwards. Now we know, that huge Short positions were traded in the rotation around 0.7249. Actually, this area is also a place where the heavies volumes in this week were traded! Weekly Point Of Control (POC) . This is an information we can work with! Now we know where interests of strong sellers are! The zone around 0.7249 is very important for them, since they placed a LOT of their short positions there. When the price makes it back to this zone again, those strong Sellers will most likely defend it. It is an important place for them – they placed a lot of their positions there. Because of that, they should try and push the price downwards from this place again. This is why the area around 0.7249 should work as a Resistance zone. This setup is one of my favorite trading setups, and it is called the “Volume Accumulation Setup“. Let me know what you guys think about this in the comments below! Have a GREAT weekend and happy trading! -Dale
by Trader_Dale
4
AUD/CHF: Volume Profile and Price Action AnalysisHello guys, in my “Weekly Trading Ideas” post from Monday, I was talking about Resistance on AUD/CHF. This Resistance has not been tested yet but there has been a new Support formed on this pair just yesterday! This Resistance and Support don’t go against each other. They don’t contradict each other. Simply put, when the price reaches the Resistance, then I expect it to go downwards from there. When the price hits the Support I am going to be talking about today, then I expect the price to bounce upwards from it. So, what is this newly formed Support based on? Weekly POC = Support Nothing less than the current Weekly Point Of Control (POC) ! Since Monday, the price has been going upwards. Then yesterday, there was a rotation and massive volumes were traded (accumulated) in this rotation. You can see this with the Volume Profile indicator. Then the price went up again. What does this tell us? It tells us, that Buyers who were pushing the price upwards were adding massively to their Long positions around 0.7110. When they were done with that, they pushed the price upwards again. We can work with this information, because now we know where strong Buyers placed a LOT of their Long trades – yea around 0.7110. As a bonus, this is the place where the heaviest volumes throughout this whole week (so far) were accumulated (= Weekly POC). When the price makes it back to 0.7110 at some point in the future, then I think it is likely that it will bounce off it and go upwards again. Why? Because the strong Buyers who were building up their Long positions will want to defend this place. It is an important level for them, because they placed a lot of their positions there. This is why i think this should work as a strong day trading Support. This setup is called the “ Volume Accumulation Setup “. I hope you guys liked today’s analysis! Let me know what you think in the comments below! Happy trading -Dale
by Trader_Dale
2
GBP/USD: Day Trading Analysis With Volume Profile 📊Hello guys, today’s day trading analysis will focus on GBP/USD. The first thing that caught my eye was the price development on 25 February. There was a rotation from which a strong downtrend started. Such a scenario is ideal to trade my Volume Accumulation setup. As you can see in the picture, I marked this rotation with a rectangle. In this rotation heavy volumes were traded (accumulated). The BIG trading institutions were entering their Short trading positions there. You can see this only with a volume-based indicator – like with my Flexible Volume Profile. But, how do we know those BIG guys were entering Shorts? We know because from this rotation (volume accumulation zone) the price shot downwards and a strong sell-off started. This indicates that strong sellers were building up their Short positions unnoticed (in the rotation area) and then they pushed (manipulated) the price downwards. Pullback to 1.4140 = A Good Trading Opportunity This is an information we can work with. We now know a place where strong Sellers placed a LOT of their Short positions. What will happen when the price makes it back to this area again at some point in the future? Those Sellers are likely to defend this zone. It is important for them – because they placed a lot of their positions there. They placed the most of them around 1.4140 – this is where the Volume Profile is the thickest. For this reason, this place should work as a Resistance. Strong sellers who placed their shorts there will want to defend this place. To push the price downwards from there again. This is how how the Volume Accumulation setup works and this is what I expect to happen on GBP/USD. I hope you guys liked today’s analysis! Let me know what you think in the comments below. Happy trading! -Dale
by Trader_Dale
1
AUD/CHF - A Lot of RED Candles? 👉 Find some short trade 👌 On AUD/CHF is nice to see strong sell-off from the price 0.7232 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that sellers from this area will be defend this short position... and when the price come back to this area, strong sellers will be push down the market again... Strong sellers + Downtrend + Strong volume area is my mainly reason for this short trade.... Happy trading Dale
by Trader_Dale
4
EUR/USD Resistance 🔪On EUR/USD is nice to see strong sell-off from the price 1.2227 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that sellers from this area will be defend this short position... and when the price come back to this area, strong sellers will be push down the market again... Rejection of higher prices + Strong sellers + Sell-off + Strong volume area is my mainly reason for this short trade.... Happy trading Dale
by Trader_Dale
1
AUD/JPY continue with the Uptrend ☝️On AUD/JPY is nice to see strong buying reaction from the price 82.13 , there is nice to see strong volume areas.... Where is lot of contract accumulated... I thing that buyers from this area will be defend this long position... and when the price come back to this area, strong buyers will be push up the market again... Uptrend + Strong buying activity + Strong volume area is my mainly reason for this long trade.... Happy trading Dale
by Trader_Dale
6