1. Opening Price: If the opening
price is higher or lower than the previous days close this creates a gap
on a price chart. In market profile, this gap represents a shift in
market sentiment. Like all gap, the greater the gap the more its
significant. For example, a market gapping up 80 points on a CCI
economical news has alot more significance than a market gapping up on
30 points with no news and light premarket volume. The first gap has a
chance of being a contiunation gap while the latter one has a high
probability of a gap fill.
2. Opening Price in relation to the value area: Here
is a rank of market balance vs market imbalance. If price opens
above/below value and the previous days range, this creates a complete
market imbalance. This offers a high risk but high reward trading
opportunity. If price opens above/below value but within the previous
days range this indicates a market imbalance but not as significant as
the earlier example. This creates a medium risk and medium reward
trading opportunity. If price opens within value and within the previous
days range, this indicates a complete market balance. Unless price
extends above/below value, this creates a low risk but low reward
trading opportunity.
3. Previous days close in relation to todays open:
Any late afernoon rally or decline can mean two things: either the
longer time frame participant has stepped in to buy/sell aggressively or
the short term traders are liquidating their position. To understand
the difference is crucial. For example, let's say the previous days late
afternoon market action was a rally and price closed at the upper
extreme of its range. This could indicate a short covering which fueled a
rally or actual longer-time frame buyers stepping in. The opening price
action is crucial to understanding this. If prices can remain above the
previous days high and value high, this means that the rally was valid
and longer time frame buyers was present. The previous days high and
value high will act as support. However, if the markets opened above the
previous days high and was quickly rejected falling below value, this
indicates short covering. Understanding price acceptance from rejection
is crucial.
4. Look for market excess: Market excess exists when
prices have extended too far above/below value. Other time frame buyers
or sellers will enter aggresiviely to return price back into value. A
single print tail below/above value is a good sign of market excess. On a
price chart, this is where prices find support/resistance with a quick
reversal never to test that support/resistace again.
"Excess is created when the other timeframe recognizes an opportunity
and aggressively enters the market, returning price to the perceived
area of value." from
Mind over Markets
Why are these levels important? They can as key future support and
resistance points. These levels represent price rejection. No time = no
acceptance.
5. Previous days close: If the previous days close
remains in value, this indicates market balance. If the close remains
above/below value this indicates market imbalance.
If the markets rotated above and below the opening price to close at
its upper extreme, we have a temporary victory by the bulls. If the
markets closed at its lower extreme, we have a temporary victory by the
bears.
6. Understanding the POC: The Point of Control is
the price level in which the highest volume occurred. This can act as a
key support or resistance point. This is also commonly used as a level
to place stops.
7. Value high and value low: These are two important
pivots when using market profile. When prices are trading within value,
the value high will act as resistance and the value low as support. If
prices do break out of value, the VAH will act as support and VAL as
resistance.
8. Opening Range: Also known as the initial balance.
If the initial balance is narrow in the morning session, any break
above/below willl most likely be the trend for the day. A wide initial
balance can indicate a market rotation from the upper range to the lower
range for the trading day.
http://www.traderslaboratory.com/forums/topic/65-market-profile-trading-concepts/
https://tempofox.com/osnovy-torgovoj-metodiki-po-sisteme-rynochnogo-profilya/
https://tempofox.com/taktika-torgovli-po-profilyu-rynka-80-rule/
https://tempofox.com/nemnogo-o-profile-rynka/
https://fxbook.su/baza-znanii/chto-takoe-profil-rynka-i-kak-ispolzovat.html
http://dewinforex.com/ru/indikatory-foreks/profil-rynka-uchimsia-ponimat-dvizhenie-tceny.html
https://ru.tradingview.com/chart/EURUSD/zvNMjyeI-profilb-rynka-market-profile-osnovnye-printsipy-dvizheniya-tseny/
https://www.trader-dale.com/market-profile-3-my-real-trades/
https://www.mypivots.com/board/forum/14/1/market-profile-strategies
https://inssip.ru/dzhejms-dalton-razum-nad-rynkami/
