medium · Volume Profile Analysis auction-market-theory
A session Profile shows a heavy concentration of volume at the very top of the range with a thin vertical tail extending below. This shape resembles the letter 'P'.
What does this 'P-profile' typically signify?
- Bullish short-covering or aggressive buyers pushing price up, followed by acceptance at the new high.
- A 'Double Distribution' day driven by a sharp midday news event splitting volume into two clusters
- A balanced rotational session where neither buyers nor sellers establish any clear directional bias
- Bearish long-liquidation where sellers seize complete control and force volume down to the bottom edge
Sign up free to see the explanation and track your rank →
More Volume Profile Analysis auction-market-theory practice
- What is the most likely market context?
- According to the daily open framework, what is the bias?
- If price is currently trading at $5,640 and the session Point of Control is at $5,615, wha
- According to auction market principles, what is the most likely outcome?
- A session prints a 'Narrow Initial Balance'. What is the most likely reason this often lea
- What is the most likely 'Open Type' classification?
- A price level is touched by five separate 30-minute periods… — How should this 'Poor Low'
- How should the trader prepare for the next session's open?