medium · Volume Profile Analysis trading-strategies

What is the typical trading strategy for a session following a prominent b-shaped profile?

  1. Look for short entries on retracements toward the Low Volume Node at the top of the 'belly' or the start of the 'stem'.
  2. Stand aside and avoid trading entirely, since a clear b-shaped profile is a definitive signal the market is closing for good.
  3. Place resting buy orders right at the POC, treating it as a magnet that price is obligated to remain pinned to.
  4. Buy aggressively at the market open, anticipating an immediate and complete reversal of the entire prior session's sharp decline.

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