Technical Breakdown on US100 (1H) TIME FRAME

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Technical Breakdown on US100 (1H) using Volume Profile, Gann, and CVD + ADX

1. Key Observations (Volume, Gann & CVD + ADX Focused)

a) Volume Profile Insights:

Value Area High (VAH): 21,280

Value Area Low (VAL): 21,190

Point of Control (POC): 21,259.75

High-Volume Nodes: Dense volume between 21,200–21,260 indicating consolidation and potential distribution.

Low-Volume Gaps: Below 21,100 down to 20,800 — fast movement zones with limited participation.

b) Liquidity Zones:

Stop Clusters:

Above 21,300 (recent swing high zone and consolidation top)

Below 21,190 (VA Low, likely stop cluster from long positions)

Absorption Zones:

Strong absorption near 21,000 and again around 20,800 (marked by reversal attempts with high delta volume)

c) Volume-Based Swing Highs/Lows:

Swing Highs: 21,291 (confirmed by peak CVD and high rejection)

Swing Lows: 20,060 (prior major volume base and support)

d) CVD + ADX Indicator Analysis:

Trend Direction: Bearish Bias emerging (CVD divergence at highs, falling structure)

ADX Strength:

ADX > 20 + DI- > DI+ → Confirmed downtrend in progress

CVD Confirmation:

Falling CVD + Bearish Price Action = Clear supply dominance

2. Support & Resistance Levels

a) Volume-Based Levels:

Support:

VAL: 21,190

Lower POC: 20,060.91

Resistance:

VAH: 21,280

POC: 21,259.75

b) Gann-Based Levels:

Confirmed Gann Swing High: 21,291

Confirmed Gann Swing Low: 20,060

Retracement Levels:

1/2 = 20,675

1/3 = 20,537

2/3 = 20,812 → aligns with minor absorption

3. Chart Patterns & Market Structure

a) Trend: Bearish (confirmed by ADX > 20 + falling CVD and price)
b) Notable Patterns:

Distribution Zone forming at highs (flat top)

Descending Channel (Bear Flag) forming after topping — potential continuation lower

Rejection from POC + VAH convergence = strong signal for supply takeover

4. Trade Setup & Risk Management

a) Bullish Entry (watch for reversal confirmation):

Entry Zone: 20,800 (channel bottom/absorption + Gann 2/3)

Targets:

T1: 21,000

T2: 21,190 (VAL retest)

Stop-Loss (SL): 20,600

RR: Minimum 1:2

b) Bearish Entry (confirmed trend setup):

Entry Zone: 21,250–21,280 (POC + VAH)

Target:

T1: 20,800

Stop-Loss (SL): 21,320

RR: Minimum 1:2

c) Position Sizing:

Risk 1–2% of capital per trade to maintain long-term equity curve health

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