How do you correctly use volume profile?

permalink · March 1st, 2015, 10:46 PM

Hello,
Many people on this forum recommend using the volume profile indicator. How exactly is this indicator suppose to be used? I attached a picture below. From what I can tell, it looks like the red circles are where support/resistance lines form on price. Is that correct?
What exactly does the value area high and low tell me (blue circle, yellow line)?
What exactly does the Point of control tell me (yellow circle, red line)

Thanks in advance.

permalink · March 2nd, 2015, 11:40 AM

Use the existing thread:

Volume Profile and Footprint discussion

Hi guys,

I felt that we needed a thread dedicated to the discussion of Volume Profile.

Some basics, you can hover over these and click on most of them to get more info in the wiki. I also encourage you guys to improve the wiki articles by editing …

Please search before creating new threads.

Also, there are countless webinars on nexusfi.com (formerly BMT) that go into great detail.

Mike

How do you correctly use volume profile?

Discussion in Platforms and Indicators

How do you correctly use volume profile?