easy · Volume Profile Analysis auction-market-theory

A price level is touched by five separate 30-minute periods (TPOs) on a flat bottom at $1.2100. There is no 'tail' or 'excess' at the bottom.

How should this 'Poor Low' be interpreted?

  1. The 1.2100 level is now a 'Naked POC' for the future.
  2. The auction at the low is incomplete, and price is likely to revisit or break $1.2100 later.
  3. The level is a 'Strong Low' because it held for two and a half hours.
  4. Institutional buyers have built a 'floor' that is unlikely to be broken.

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