Trader Dale - Volume Profile Trading Blog

Today, I would like to do an intraday analysis of the AUD/CAD. What caught my eye here were two things. First, strong buying activity (uptrend). Second, rotation areas created within the uptrend. There are usually heavy volumes traded in rotation areas like these so I used my Flexible Volume Profile to check them out. Significant volume areas The Volume Profile shows two significant volume areas here. The first one at 0.8629 and the second (the lower one) at 0.8546. What happens when there is such a heavy volume area created in an uptrend? This usually indicates that strong buyers were adding to their long positions there (in the rotation areas) and then pushing the price even higher. When the price makes it back to these levels again (in a pullback) then those strong buyers will most likely defend their longs and they will push the price upwards again. This is what I expect to happen at those two heavy vo...

*Disclaimer: Presented opinions, trades and trading ideas on the markets and charts is not advice nor a trading recommendation. It is general information and it is for educational purposes only. **You can learn more about my trading setups in my new book: VOLUME PROFILE: The insider’s guide to trading If you would like to learn to trade with Volume Profile and to trade with me every day, then join my Trading Course!

It seems that the S&P 500 has finally found it’s bottom and there are buyers pushing it upwards again! BTW. I predicted almost the exact spot for this and posted it here two weeks ago. You can check it out here: Dale’s S&P 500 prediction Anyways, one picture tells it all: The Special Webinar -50% Sale ends TODAY – Friday 27th. You can get it here: Elite Pack -50%  SALE What happened before the price turned up? Today, I don’t really want to talk about the big picture though. I want to look at lower time frames. What I am interested in is how the volumes were distributed recently in the strong rejection of the lower prices. This is basically the last two weeks. You know, before the big guys turned the price upwards again, they needed to enter their longs. They needed to buy cheap in order to make money when they pushed the price upwards again. W...

In my recent VWAP webinar, I showed you two trading setups you can use with the VWAP indicator . One setup which you can use when there is a rotation and the other setup when there is a trend . BTW. if you missed the webinar you can watch it here: VWAP Trading Strategies – Webinar Today, I would like to show you how you can apply those setups in your trading. I will demonstrate this on a 60 Minute AUD/JPY chart. I will use a Weekly VWAP – which means that every new week a new VWAP gets calculated anew. Trend vs. Rotation The first thing you need to do is to identify whether there is a trend or a rotation. Why? Because in the trend you will want to use the “Trend VWAP  setup” and in rotation the “Rotation VWAP setup”. As I said at the webinar – it is best to use VWAP deviations to identify a trend from a rotation. When deviation (the grey line) moves vertically, then there is a trend. When it moves horizontally, then there is a rotati...

In my yesterday’s article, I showed you how I look for confluences of trading setups to identify strong supports and resistances. If you missed the article, then you can read it here: EUR/CAD: Volume Profile + VWAP Daily Analysis Because practice makes perfect, I will do a very similar analysis today. This time I will focus on AUD/CHF. Volume Profile setup The first thing that caught my eye here today, was a rotation and a strong buying activity starting from it . This is usually a sign of buyers who were building up their positions in the rotation, and who aggressively pushed the price upwards later. I used my Flexible Volume Profile to look into the most recent area to see how the volumes were distributed there. I saw what I expected – heavy volumes accumulated around 0.5853. Heavy volumes make this area a support. When the price makes a pullback into this area again, then the buyers who were building up their positions he...

Today, I am going to do an intraday analysis of EUR/CAD . I will use Volume Profile , VWAP and Price Action to do that. What I want to show you is how you can use all those together to find strong confluences. What do I mean by a confluence? A confluence means a place where more signals from different trading indicators meet and point to a strong trading level. Volume Accumulation Setup The first thing I am going to talk about is a 30 Minute chart (EUR/CAD). What immediately caught my eye was a rotation from which a strong buying activity started. This is what I call the Volume Accumulation setup . *I talk more about it here: Volume Profile webinar What I did was that I used my Volume Profile tool to see how the volumes were distributed there. As you can see in the picture below, there were heavy volumes created in the rotation. From this rotation a buying activity (an uptrend) started. This tells me that bu...

*Disclaimer: Presented opinions, trades and trading ideas on the markets and charts is not advice nor a trading recommendation. It is general information and it is for educational purposes only. **You can learn more about my trading setups in my new book: VOLUME PROFILE: The insider’s guide to trading If you would like to learn to trade with Volume Profile and to trade with me every day, then join my Trading Course!

You will learn: ✅ Description of VWAP ✅ How to use VWAP – basic logic ✅ VWAP trading Setups ✅ My preferred VWAP settings ✅ VWAP + Volume Profile combination I hope you guys liked the webinar! Let me know what you think in the comments below! Happy trading, -Dale

The current market development is pretty crazy. The average daily volatility has risen dramatically and there are strong trends everywhere. In today’s article, I would like to show you how to use VWAP indicator to trade in trends like that. Let’s talk pullbacks! When there is a trend then in my experience it is best to trade pullbacks . This means that you don’t just blindly enter a long or a short position but you wait for the pullback. Strong and “healthy” trends need to make pullbacks. If the price just shoots one way then there is no time to enter big trading positions (which the big guys need!). For this reason, when there is a trend we need pullbacks. Now the big question is this: Pullbacks to where? There are two options for this and you can combine them and use them together. First option is pullbacks to significant Volume Clusters which you identify using the Volume Profile tool . The secon...

My favorite way to use the VWAP indicator is to use it in a combination with Volume Profile or with Price Action setups. Sure, you can use VWAP as a standalone strategy, but it shines the most when you combine it with some other trading strategy you like. For me, the golden combination is VWAP + Volume Profile or VWAP + Price action setups. In today’s article, I would like to show you how I combine VWAP with other trading strategies. I will show you three trading examples. All those in just one chart! EXAMPLE #1: VWAP + Volume Profile The picture below shows NZD/USD; 60 Minute chart. In here I am using the VWAP Trend Setup . I use this setup when there is a trend. The price needs to move below the 1st deviation of VWAP (grey line which I highlighted in yellow). When there is a pullback and the price hits this the 1st Deviation, then it i...

Major stock indices are falling every day to new lows. Such a strong market crash wasn’t here for decades! As traders, I think we need to keep our heads clear and start looking for some nice trading opportunities. Stocks are getting cheaper and more attractive every day! Dow Jones index In today’s market analysis I would like to have a look at the Dow Jones index , the world’s most famous stock index. This one correlates with all the other major indices and also falls to new lows every day. It won’t be falling forever though! The underlying asset for this index are the strongest US companies. US government won’t let those fall (not while the US central bank can print money indefinitely). As an investor, I am looking for buying opportunities now. I want to buy those strong companies cheaply! Volume Profile analysis The simplest way to identify strong support/resistance is to use the Volume Profile i...

*Disclaimer: Presented opinions, trades and trading ideas on the markets and charts is not advice nor a trading recommendation. It is general information and it is for educational purposes only. **You can learn more about my trading setups in my new book: VOLUME PROFILE: The insider’s guide to trading If you would like to learn to trade with Volume Profile and to trade with me every day, then join my Trading Course!

Gold hit a major long-term resistance which I wrote about a month ago. Despite all the uncertainty around the world (which should actually help gold to strengthen) there was a nice reaction to this resistance and a sharp sell-off. You can read the reasoning behind the resistance here: A MAJOR Resistance On Gold To me, it appears that the selling on Gold has just started and it might continue in the future. Below is a Daily chart of Gold with the resistance I predicted and the reaction. What happened around 1665 Let’s now zoom in a bit and let’s have a look at what actually happened around the major long-term resistance (1665). I will explain on a 30 Minute chart. First, the price went upwards and hit the resistance. Then there was a rotation around the resistance and then an aggressive sell-off started yesterday. If you look into the volume distribution (picture below...