hard · Volume Profile Analysis trading-strategies
A ZB (30-Year Treasury futures) trader is tracking a 'Naked Point of Control' (nPOC) from three sessions ago at 119-08, which price has not revisited since the market gapped higher. Price is now trending down from 119-22 toward 119-08.
Which statement best describes how the nPOC functions as a breakout-continuation reference level?
- The nPOC at 119-08 is likely to act as a magnet that draws price toward it; if price accepts below it, the trend continuation lower is structurally supported because the nPOC becomes overhead resistance
- The nPOC is irrelevant once three sessions have passed, as the market has repriced and the old POC loses its magnetic pull
- The nPOC will automatically cause a sharp reversal upward when first touched, because prior POCs always generate responsive buying
- The nPOC only matters if it coincides with a HVN from the current week's composite profile
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