Volume Profile - working with POC

2017年3月7日

On my trading chart (2 mins) I just exited when the POC changed, rather than hold my short for more profits to the older POC. (Snap picture to follow). I submit this as an idea on the 15 min chart even though I don't use it, however you can see that the current bar is having a big upmove. It started off going down, then the POC changed intrabar and now it is in the process, perhaps of changing the trend for the day...

2017年3月7日

注释

Here is the 2 min chart in snap format (no subsequent updates). I exited on the bar marked with yellow arrow beneath. This shift in the POC was a good 'tell' that the market might soon change.

This doesn't always happen, of course. But it is worth paying attention to.

2017年3月7日

注释

Zooming out to 30 mins, you have a great example of the market 'flying through' low volume area. You can see the current POC at the bottom of the day's range illustrated by red line. To the left is the day-session histogram so the price with most volume is there highlighted in a somewhat greenish color. Up above is another zone sticking out around the current price level (where most likely a new POC will be formed. Quite likely today will end up being range-bound between these two POC's unless there is a clear breakout up or down. Could go either way (as always) but it is still a longer-term bull market, and there has been 2-3 day selloff, so quite likely some buying pressure will enter in. On this 30 min chart, the Collective is still up above as resistance, however, so it will take a while, which is why I suspect probably not today, barring some sort of strong breaking news. Also, the cloud, which cannot be seen without changing chart zoom level, is even further up above. It will take quite a while. Which is why I took a short pullback trade on the 2 min chart for (hopefully) a quick 10 points.