I am trying to Explain an visual representation of using Volume Profile
Many do not have much exposed knowledge on this subject including very less Books have been written on it
But one can read the available books online and Get to know few price distribution patterns where along with price action of candle stick
You will come to know on price level where the highest distribution took place and where the lowest volume traded during the session once you go in to inter day
system
here i have selected a day charting since it become easy to explain ,
when these price movement are recorded on real time they form an understandable patterns with in them
for Example , shape b pattern during an extended run indicate bearish pattern where the entire day trading range is like a bally of man lower level
when price is controlled all the day in lower level after a brief run in the scrip based on weekly change then its high likely will reverse
and during that time it will form b pattern
same double b pattern where you will market has made very good move but the actual distribution is in two places
which clearly indicate the profit booking by smart money on two price levels
same we find P pattern , where as P is formed when you see tail or bottoming tail candle , and during that
You can clearly have a look on price of control and you can also look for low volume tags , but typically p pattern is formed on both the time during top formation and during bottom formation
so one has to have an knowledge of the scrip where it is position in the trend using moving average or any other momentum indicator can be used to identify
people look for books available on Market profile or volume Profile both are same excluding few indicated message between market profile and volume profile
Trading view is providing volume profile for Pro and above subscription which can be used for better trading opportunity
Good Luck
Many do not have much exposed knowledge on this subject including very less Books have been written on it
But one can read the available books online and Get to know few price distribution patterns where along with price action of candle stick
You will come to know on price level where the highest distribution took place and where the lowest volume traded during the session once you go in to inter day
system
here i have selected a day charting since it become easy to explain ,
when these price movement are recorded on real time they form an understandable patterns with in them
for Example , shape b pattern during an extended run indicate bearish pattern where the entire day trading range is like a bally of man lower level
when price is controlled all the day in lower level after a brief run in the scrip based on weekly change then its high likely will reverse
and during that time it will form b pattern
same double b pattern where you will market has made very good move but the actual distribution is in two places
which clearly indicate the profit booking by smart money on two price levels
same we find P pattern , where as P is formed when you see tail or bottoming tail candle , and during that
You can clearly have a look on price of control and you can also look for low volume tags , but typically p pattern is formed on both the time during top formation and during bottom formation
so one has to have an knowledge of the scrip where it is position in the trend using moving average or any other momentum indicator can be used to identify
people look for books available on Market profile or volume Profile both are same excluding few indicated message between market profile and volume profile
Trading view is providing volume profile for Pro and above subscription which can be used for better trading opportunity
Good Luck