Market Profile FX

Market profile was developed by Peter Steidlmayer in the second half of last century. This is a very effective tool if you understand the nature and usage. It's not like common tools like EMA, RSI, MACD or Bollinger Bands. It operates independently of price, not based on price but its core is volume. The volume is normal, as the instrument is sung everywhere. But the special thing here is that the Market Profile represents the volume at each price level.


1. Price Histogram

The Price Histogram is a very reliable tool. It's a bit intuitive but extremely effective. The price histogram simply shows you the "most convenient" trading points of the market. This is aa leading indicator, because it shows the points where market can change its direction in advance. The indicators like moving averages or oscillators cannot specify the exact points of resistance and support, they can only show the fact whether the market is overbought or oversold.

Usually, the Price Histogram (or Market Profile) is applied to 30 min. price charts to study the market activity during one day. I prefer to use the 5 min. charts for stock markets and 15-30 min. charts for FOREX.

2. Point of Control

What does POC show? The price that is remembered by most of traders. The longer market is traded at this price, the longer market remembers it.

Psychologically POC acts as a center of attraction.


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Emanuel Reis 2022.11.04 04:08 
 

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Sphetho
31
Sphetho 2022.08.12 18:59 
 

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Urij Poplavskij
593
Urij Poplavskij 2022.05.08 01:28 
 

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rodrigoabreu
44
rodrigoabreu 2022.05.05 01:43 
 

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8953f8
34
8953f8 2022.04.01 15:05 
 

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marlosfer
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marlosfer 2022.03.15 01:00 
 

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edsonmms
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edsonmms 2022.02.22 19:07 
 

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Edynvest
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Edynvest 2022.02.22 16:29 
 

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MetaMINDfx33
24
MetaMINDfx33 2022.02.11 18:05 
 

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Soldado165
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Soldado165 2022.02.08 22:44 
 

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Deilson Damascena
33
Deilson Damascena 2021.10.28 14:15 
 

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Murilo Maia
36
Murilo Maia 2021.09.02 13:44 
 

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gersonjosedepaula
44
gersonjosedepaula 2021.08.16 18:49 
 

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Heitor Leal Farnese
229
Heitor Leal Farnese 2021.07.17 03:54 
 

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