easy · Volume Profile Analysis profile-shapes

A session is trending higher. A consolidation forms mid-day where 65% of the consolidation's volume is in the bottom half of the range.

What does this skew imply?

  1. Aggressive sellers are taking control and a reversal is imminent.
  2. The consolidation is a 'Double-Distribution' with a high-volume waist.
  3. Institutional accumulation is occurring to support the next leg up.
  4. The market has found perfect balance and will likely turn into a D-profile.

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