medium · Volume Profile Analysis profile-anatomy
A 'b-shaped' profile forms after a sharp move down during the London open. During the New York session, price rotates but fails to move above the Point of Control of that 'b' distribution.
What does this indicate?
- Initiating buyers have stepped in to fade the move and migrate the developing POC higher.
- The market is now exhibiting classic 'Excess' and the rotational auction has fully completed itself.
- Acceptance at lower prices, suggesting that the initial selling was successful in finding value.
- A 'Short Squeeze' is imminent here because the trapped, offside sellers are now completely exhausted.
Sign up free to see the explanation and track your rank →
More Volume Profile Analysis profile-anatomy practice
- If today's Value Area High (VAH) is $1.0820 and tomorrow's Value Area Low (VAL) is establi
- A session on AUD/USD has a Value Area of $0.6650 to $0.6680. The following session's Value
- On USD/JPY, Session 1 Value Area is $151.20 to 151.80. Session 2 Value Area is $151.30 to
- Comparing two sessions on Brent Crude: Day 1 VAH is $82.50, VAL is 81.20. Day 2 VAH is $81
- Tuesday is classified as:
- You observe a GBP/USD session where the Value Area High (VAH… — What does this 'Value Migr
- Price probes below the prior day's VAL at $1.0820 on EUR/USD. It immediately snaps back in
- What is the standard iterative step?