medium · Volume Profile Analysis profile-shapes
The E-mini S&P 500 has built a D-shaped balanced profile over the past week with a composite Value Area from 5,605 to 5,615. Price probes to 5,620 — above the composite VAH — on higher-than-average volume and the profile begins building a new node there.
Compared with a low-volume probe above the VAH, why does the above-VAH volume building change the analyst's interpretation?
- High volume above the VAH confirms that price will mean-revert straight back to the composite POC well before this current session closes
- High volume above the VAH indicates value acceptance at the new level, raising the probability that the balance area is breaking to the upside
- High volume above the VAH carries no real analytical meaning because a Value Area is fixed in place and can never shift while a session develops
- High volume printed at any level positioned above the session POC always signals that a sharp, imminent price reversal is now actively developing here
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