Trader Dale - Volume Profile Trading Blog

  Hello guys, today, I would like to have a closer look at the  NZD/CAD . What caught my eye here was a Price Action formation: “ Rotation followed by a sell-off” . In the picture below I marked the rotation in blue and the sell of in black. When I see such a formation, then my next step is that I use my  Flexible Volume Profile  to look into that rotation to see how volumes were distributed there. As you can see, the  Volume Profile  is quite wide there, which means that heavy  institutional  volumes were traded there. It tells us,  that there were strong institutional Sellers who were accumulating their trading positions there.  Were those Longs or Shorts? It were Shorts because the price went into a rapid sell-off afterwards. The BIG guys were building up their Shorts and then they manipulated the price to shoot downwards. That’s how it works. Those BIG guys accumulated most of their trades in the heavy volume zone starting around 0.8...

  Hello guys, today, I would like to have a closer look at  EUR/AUD . There has been an interesting development as  the trend completely changed from downtrend to uptrend.  Also, the change of trends was quite rapid. There was a strong sell-off, and then just after a few hours of rotation a strong buying activity took place. When there is such an aggressive change of a trend, then  I am always interested in the volume distribution within the strong rejection area.  I am most interested in the volumes that got traded right before the change of trend occurred. For this, I use my  custom-made Volume Profile tool . One of the handy features my  Volume Profile  has is that you can use it to look into specific areas in the chart which you are interested in. Just like the rejection here. EUR/AUD; 30 Minute chart: As you can see in the picture above, I used the  Volume Profile  to look into the rejection – into the area where the trend chan...

Hello guys, today I would like to have a closer look at the  USD/JPY . For the last couple of days this pair has been in a  strong uptrend . I am always interested in trading trending pairs and I always want to jump in the trend and participate in it. However, I don’t just jump into the trend without any thought.  I always wait for a pullback.  A pullback to heavy volume area. Why heavy volume area? Because those represent strong Support and Resistance zones. In this case, strong  institutional  Buyers are pushing the USD/JPY upwards aggressively. Volume Profile Analysis What my  Volume Profile indicator  is telling me is that those  Buyers were adding to their Longs around 111.01. As you can see in the picture below, this is the area where the  Volume Profile  is wide = heavy volumes were traded there. Because the uptrend continued from here, we can assume, that Buyers were adding to their Longs there (in the heavy volume area star...

  *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. If you would like to learn to  trade with Volume Profile  and to  trade with me  every day, then join my  Trading Course!

  Hello guys, today, I would like to have a closer look at the AUD/JPY. It seems, there has been a change in the trend. From a downtrend to an uptrend. What happened at the lowest breaking point where the trend changed? There was a rotation with heavy volumes accumulated there. You can see those volumes nicely with my  Volume Profile indicator . What do those volumes tell us? They tell us that in this place, strong  institutional  Buyers were absorbing all the selling pressure, and buying everything the Sellers had to sell. The Buyers were accumulating their Long trades there. After they entered their huge trading positions they pushed the price into the new uptrend. Now it’s Buyers who is in control and who is pushing the price upwards. AUD/JPY; 30 Minute chart: Support at 79.05 What happens when the price returns back into the heavy volume area – the area where those strong Buyers were placing most of their Longs? Those  Buyers will most likely want to defend ...

  Hello guys, today, I am going to talk about  EUR/CHF . The thing that caught my eye was a  tight price channel/rotation from which a strong sell-off started. What usually happens in such rotation is that  BIG institutional traders  are building up their huge trading positions. They do it in a rotation so they are not recognized  and their intentions stay hidden. What those BIG guys do next is they start a trend.  This is where their trades start making money. In this case, it was a downtrend (a sell-off). This tells us that the BIG guys who were building up their trading positions were  strong Sellers. You can see those big trading positions using my  Volume Profile indicator . It nicely reveals the institutional trading activity within the rotation area. EUR/CHF, 30 Minute chart: What the Volume Profile Tells Us? What we have now is this information:  There were strong  institutional  Sellers building up their Shorts in a he...

  Hello guys, today I would like to share my thoughts on  NZD/CHF  from the longer time frame perspective. So, today’s analysis will be a “ swing ” trade analysis and I will be using a  Daily time frame . What I found interesting about the NZD/CHF was a  very sharp price reversal . There was a strong sell-off lasting 6 days, but then the price has suddenly turned and there was a strong buying activity. The price was rising for 11 consecutive days which is quite a lot! What I am interested in the most is the place where the price turned (reversed) from sell-off into the buying rally. NZD/CHF; Daily chart: Volume Profile Analysis I used my  Volume Profile indicator  to look into the whole rejection area to see how volumes were distributed there. What I was looking for was an important volume zone somewhere around the place where the price reversed. As you can see from the picture above, I found that zone (blue rectangle). This is the most important place...