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Volumeprofileanalysis

GME appears to be ready to sell in JuneGME on the 4H chart appears to have topped out at the end of May after a decent rise of 30% after the May 2nd bottom. At present, the Hull Suite trend indicator is signaling a reversal while the MACD zer0 lag indicator shows the lines have crossed under the horizontal zero and the histogram has turned red. The RSI Indicator is showing a bearish divergence with strength decreasing from 80 to 60. I see this as a short setup and will take a position of put options with some long stock shares as risk management and hedging strategy. My target is a 50% retracement of May's move up and a stop loss above the swing high. GME is still above the POC line of the volume profile. Once it drops to that value, I expect bearish momentum acceleration. Earnings are coming. If in profit before earnings, I will take off half the position for the earnings and then expect GME to rise and stop out the remaining position or drop quite a bit more.
NYSE:GMELong
by AwesomeAvani
SNOW pulls bak on Earnings Discount SaleSNOW on the daily chart pulled back from decent earnings to in a massive bearish candle down into its intermediate-term fair value zone near to the mean anchored VWAP and the POC line of the volume profile. It is entirely possible that many traders sold SNOW at its highs when they got FOMO over NVDA and needed to free capital to get more cash in their accounts after buying NVDA . This could have easily helped SNOW go down despite decent earnings. No matter if SNOW is on sale, I will buy it now setting a stop loss @ $145.00 and watch for a Fibonacci-style retracement halfway back to the Pirvot high from which it fell for a first the target of $ 170, a second of $180 ( one third of the position for each) and the final at $170. In the meanwhile, I have a position on NVDA to play a possible drop.
NYSE:SNOW
by AwesomeAvani
FSR follows TSLA / NIO in uptrendFor the month of May on the 15-minute chart Fisker is up 27% while the general market QQQ is up merely 4%. FSR riding an ascending parallel channel tested the channel yesterday. This was met with high relative buying volume. (Fundamentally, TSLA and NIO are rising as well as EV stocks gain some momentum ) The Better RSI indicator is oscillating between oversold and overbought providing reasonable entries. The volume profile shows the highest volume support from $ 61.0 to 6.65. The uptrend started at 5.10 and the POC line which is the likely Fib 0.5 level on a future retracement combined in context suggest a target of 7.10 for the current uptrend. I find this to be suitable for a long trade setup also factoring in a stop loss at 6.55 just below the parallel channel.
FLong
by AwesomeAvani
Is ROKU ready to reverse and recover?ROKU here is on a one hour chart. IT has trended down from from its supply/ resistance area of 65-68 and has dipped into its demand/ support zone of 52-53 per the Luxalgo indicator. Price is presently far below the high volume area of the volume profile which shows the the highest volume at 64. At this point, short sellers are buying to cover and take profit. Price is now at the lowermost VWAP bands in the deep undervalued area. Bargain hunters such as myself now have an interest. Fundamentally, the last earnings report was reasonably favorable given the context of the general market and the economy. I see ROKU as a long-trade candidate at this point. It should follow AAPL, TSLA, META GOOG and other mega-caps and begin an uptrend. ROKU has high volume high liquidity and relatively narrow spreads. I will take a call option trade striking $50 with a DTE of 30-45 days. IF it performs well, at 21-30 days I will roll it into another.
NASDAQ:ROKULong
by AwesomeAvani
1
SNAX IS it ready for another explosive move?SNAX went up 5X last November after favorable earnings. It is a penny stock and inclined to volatility. The following could support another explosive move: (1) it just printed another favorable earnings report. (2) it crossed the mean anchored VWAP band (3) price is above the POC line of the volume profile and in the high volume area. (4) the RSI indicator shows relative strength crossed over 50. (5) bullish momentum is demonstrated by a green engulfing candle after several days of sideways consolidation. (6) price crossed through the basis midline of the Bollinger Bands typically considered by some to be an entry signal. As a penny stock this is a risky trade but as such is also carrying a high reward potential. I will take a long position and contribute to the bullish momentum. I plan to make at least 100% on this trade if not more. I will set a stop loss of 10% to give the volatility some room.
SLong
by AwesomeAvani
SYM Technology @ WorkSYM has ascended YTD at a rate of 20% monthly and compounded. It has had consistent earnings doing its thing which is providing robots to replace human labor in factories and servicing them. Its products are in constant demand and growing. On the chart, SYM is above the POC of the volume profile. Buyers have pushed the price higher and sellers overall have not kept up with opposing momentum. Price is in the upper bands of both the intermediate and short-term anchored VWAPs putting it in the fair to overvalued range. I see SYM as continuing to rise as companies and industries with warehouses seek to lower labor costs as a means to maintain their margins and survive the recession and its consequences. For me, this is an obvious long setup with high potential.
NASDAQ:SYMLong
by AwesomeAvani
A key reversal on EUR/USD just formed at a major support clusterA bullish engulfing candle has formed on the EUR/USD daily chart, which could carry some weight given the technical levels of support it sits upon. Despite an intraday break below 1.0700, the market rebounded and closed back above this big round number. The 200-day EMA also provided support following an intraday false break beneath it, and it is worth mentioning that the 200-day EMA provided support on three occasions between the end of February and beginning of March before a strong rally formed. The RSI (14) dipped to its lowest level since September 2022. Whilst it is not within the classic oversold level of 30, it now sits at a similar level to the RSI low in February which preceded the March Rally. Furthermore, yesterday’s low held above the March VPOC (volume point of control), which is the most traded level by volume (or ticks, in the case of spot forex). Whilst many would prefer real ‘exchange’ volume, I regularly use the ICE feed as it is an amalgamation of FX feeds and their respective liquidity providers, and I generally find their tick volumes to be quite reliable. And finally, the decline form the May high has been in a relatively straight line which almost begs for correction higher. So it appears we are at or very near to an inflection point on EUR/USD, and a move to 1.0800 seems achievable given the depth of its decline from the May high. Of course, incoming data is key so we will keep an eye on employment data for the US this week (ADP, JOLTS, layoffs, jobless claims) and to see if the jobs market shows further signs of softening ahead of Friday's NFP report, as that could reduce bets of a June Fed hike and support EUR/USD.
Long
by CityIndex
TSLA is pushing againTSLA on the 4H chart started 2023 with an upward trend taking it from basically $100 to a doubling by February 15th then a reversal in a fibonacci retracement fashion to mid level level by March 10th with a bounce up and then resettled in the same area by April 20th then holding above the upper of a VWAP band until its reversal a week later. At present, TSLA is pushing higher and has crossed ever a low VWAP band as well as the mean from the anchored VWAPs. TSLA reversed on April 27th at the bottom of the high-volume area of the profile and is now progressing through it. I believe that this is a good long setup. The stop is VWAP at $178 The target is $ 196 which is the neckline of the head and shoulders from February as well as the April 1 pivot high. i believe that TSLA has enough interest and typical momentum to push $10-11 despite headwinds like interest rates and loss of market share in China and the Nordic countries due to USD strength. The volume indicator shows relatively high volume compared with this past winter. I think this accumulation will result in price appreciation as things progress ( as per Wycoff).
NASDAQ:TSLALong
by AwesomeAvani
UNG retracement complete- to uptrend again.UNG as shown on the 15-minute chart had an untrend for a week culminated by the very steep finish to the uptrend into resistance followed by a very rapid bounce down and retracement. A standard 50% Fibonacci retracement is now complete. UNG appears to be bounding off the POC line of the volume profile which coincides with the 0.5 Fib level. UNG tracks the natural gas futures, especially the leading month. It appears now ready to resume an uptrend. This is a directional bearing on the trend for any instrument based on natural gas prices including XNGUSD on forex.
AMEX:UNGLong
by AwesomeAvani
2
BOIL Megaphone PatternBOIL on the 15-minute chart is currently in an upward facing megaphone pattern. I have drawn in the upper and lower trendlines which are a form of static support and resistance. The megaphone pattern is one of increasing volatility between buyers and sellers and indecision It is the opposite of consolidation in a narrow channel. The anchored VWAP shows BOIL to be between the mean VWAP and the first standard deviation band below it. This is generally considered the lower part of the fair value zone. The volume profile has a high volume area of in the price range of 3 to 3.7 while the POC line is confluent with the VWAP. The "better" RSI oscillator/ indicator shows values above 75 at swing highs and values below 25 at swing lows. My goal in this trade is to buy at the lower ( support ) trendline and sell at the higher ( resistance) trendline. I will be watchful for any fibonnaci retracements of a prior trend. At present, BOIL is at that lower trendline and RSI is showing weakness. I will add to my position now as I did in the whipsaw action some hours ago at the location of the bearish engulfing candles in the premarket and the opening.
AMEX:BOILLong
by AwesomeAvani
NFLX Watching for another BreakoutNFLX gapped up on the morning of 5/18 with high momentum and a volume spike both of which faded by mid-day shown on this 15- minute chart. Since then price has been in a narrow consolidation range centered about the POC line of the multisession volume profile. Price is in the fair value area between the mean anchored VWAP and the +1 STD band. The zero lag MACD is confirmatory for a trend resting in consolidation I will watch for green candles in a row with the second having more range than the first. I will check to see if the relative volume is 2X the running mean. If so, I will enter and try to get the early breakout. Stop loss will be $365 below the POC line. I will exit upon seeing upper wicks and volume falling back down to the mean. My expectation is for a quick 3 to 5 percent trade with a R:R of better than 10:!.
NASDAQ:NFLXLong
by AwesomeAvani
Can XNGUSD short squeeze?XNGUSD on the weekly chart showing two years of price action with weekly candles shows the rise in 2021 into spring 2022 then printing a head and shoulders pattern and the reversal to deep into the support/demand zone. The volume profile shows the majority of the trading during this time period to have been between $3.75 and $ 8.50. It would seem likely that there are a sizeable amount of short sellers holding positions with unrealized profits of 50% to as much as 300%. This past week had the best buying volume in six months and provides bulls with optimism If natural gas can gain some momentum and put in green candles with a decent price range for a couple of weeks in a row, the combination of new buyers with new interest and short sellers liquidating and buying to cover their unrealized gains might ignite a bit of a rally for natural gas. I will keep natural gas on watch. I will keep in mind that a breakout without a corresponding volume the response could be a fakeout. A stop loss would be $1.95 below the support zone while the final target would be $4.75 below the POC line. Interval take profits would be 10% of the forex lots every time the price rises by $0.50 for risk management and good profit taking while underway.
FXOPEN:XNGUSDLong
by AwesomeAvani
CVNA - Retracement UnderwayCVNA in the past couple of trading sessions had a 20 % move and then reversed downward. As shown on the 1 hour chart, price is below the demand/ resistance zone and sitting on the POC line of the multisession volume profile where volatility is often at its highest. The anchored VWAP indicator shows the bands are nearly flat. Price is in the fair value zone and falling towards VWAP. RSI is near 60 and dropping. I see this as a decent short setup. The first target is before the VWAP at 11.20 while the second target is at 10, the confluence of the bottom of the high volume area and the first VWAP band below the mean. the stop loss is near to the first VWAP band above the mean at 12.55. Fundamentally, CVNA has a decent earnings report but is subject to an impending recession where consumers may be not inclined to make big purchases such as cars.
NYSE:CVNAShort
by AwesomeAvani
4
ACB Aurora Cannabis Long SetupOn the 4H chart ACB has dropped out of a head and shoulders pattern list winter with high volume into a downtrend with lower volume now into support / demand as shown by the Luxalgo indicator. The anchored VWAP is also trending downward with support at the minus 1 and minus 2 standard deviations. The volume profile shows the majority of the recent share exchanges have been at the $0.65 per share area. If price rises above that POC line of the profile, ACB will get the attention of new buyers while short sellers will begin to cover thus causing buying pressure and momentum. I will buy a sizeable quantity for perhaps $1-2K shares once price gets over that POC line. Prospective buyers will consider this to be a reversal confirmation. I will be one of them. The first target is the volume void at $0.79 or about 25% with the other target being one standard deviation above VWAP at about $.90. Stop loss will be set at $0.05 below the entry. For profit insurance I will hedge with a single put option contract at a strike of $0.70 with a 90-120 DTE to diminish risk at a minimal cost.
NASDAQ:ACBLong
by AwesomeAvani
📊 Volume Profile: IndicatorsThere’s a reason why trading volume has been a standard indicator on every piece of charting software over the last 30 years… it provides a crucial edge. Volume provides you with logical insight into the activity of market participants at varying price levels. Volume analysis helps traders to become more reactionary to price movements rather than trying to predict where price will go next, as is the case with most technical indicators. 📍Key takeaways about volume Key takeaways about the normal volume indicator plotted on the X-axis in trading: 🔹Volume Indicator: The normal volume indicator measures the total number of shares or contracts traded during a given time period. It is commonly displayed as a histogram or line chart, with the X-axis representing time. 🔹Liquidity: Volume is a crucial metric as it provides insights into the liquidity of a security. Higher volume generally indicates greater market participation and liquidity, making it easier to buy or sell the asset without significantly impacting its price. 🔹Confirmation: Volume can confirm the validity of price movements. In an uptrend, increasing volume supports the bullish move, suggesting strength and conviction among buyers. Conversely, declining volume during an uptrend may signal weakness or lack of interest. The same principles apply to downtrends. 🔹 Breakouts and Reversals: Volume analysis is often used to identify breakouts and potential trend reversals. A significant increase in volume during a breakout suggests a higher probability of a sustained move, while decreasing volume near a support or resistance level might indicate a potential reversal. 🔹Divergence: Volume can reveal divergence between price and market sentiment. For example, if prices are rising but volume is decreasing, it could suggest that the rally is losing steam and a reversal may be imminent. Similarly, increasing volume during a price decline might indicate selling pressure and further downside potential. 🔹Confirmation of Patterns: Volume can provide confirmation or invalidation of chart patterns such as triangles, head and shoulders, or double tops/bottoms. Higher volume during pattern formations enhances their reliability, while low volume can cast doubt on the pattern's significance. 🔹Watch for Extreme Volume: Abnormal spikes in volume can indicate significant market events, such as earnings releases, news announcements, or institutional buying/selling. Unusual volume can lead to increased volatility and potentially offer trading opportunities. 🔹Relative Volume: Comparing current volume to historical average volume helps gauge the significance of the current trading activity. Higher volume relative to the average may imply increased interest, while lower volume might suggest a lack of conviction or reduced market participation. 👤 @AlgoBuddy 📅 Daily Ideas about market update, psychology & indicators ❤️ If you appreciate our work, please like, comment and follow ❤️
Education
by QuantVue
35
XAGUSD Spot SilverSilver had been on a downtrend for two weeks before hitting its pivot low on 5/18/23 and reversing. The Hull suite indicator has changed from red to green while the zero lag MACD indicator bounced on the zero line and is now uptrending. Importantly, on the way down price dropped quickly through a low volume area of the volume profile marked out on the the two hour chart. This area had the highest bearish momentum meaning the most negative price action over the least time. If price can regain $ 24.25, the inverse could occur being a burst of bullish momentum propelling the price through the low volume area described. Contributing to this could be a squeeze if those who are short liquidate and buy to cover. Finally, the predictive algo Echo indicator suggests a rise in price to begin the trading week up to but bouncing down from that $24.25 target being the bottom of the volume void. I will place a long trade with the target in mind. If price can break it, I expect an explosive move perhaps equal and opposite to the 4% downward move earier this week. Also contemplated are equity trades in SLV. AGQ and ZSL depending on the price progress underway.
OANDA:XAGUSDLong
by AwesomeAvani
PSNY Polestar EV Startup Can it Rise from Bottom?PSNY ( Polestar) has dropped to its lows after an earnings report which shown it still has no cash flow but at least the losses are less than projected by the analysts. On the chart zoomed out, price is in megaphone pattern which demonstrates increasing volatility. Price is at the bottom support trendline and one standard deviation below the anchored VWAP. This suggests 15% upside in the immediate short term. Price action is starting to resemble that of Fisker (FSR) . I see this as a risky swing long trade as price tries to rise to the VWAP and POC line of the volume profile. ( PSNY is in better shape than NKLA and RIDE but not by a whole lot ) I would be very reluctant to make an investment in Polestar but happy to play the volatility for profit.
NASDAQ:PSNYLong
by AwesomeAvani
2
FULC Biotech Fib Level BouncdFULC on the 15 minute chart had a good response to favorable earnings and then retraced. It is now bounding off the Fib 0.5 level and also confluent with the POC line of the volume profile and the mean of the anchored VWAP. Buying volume appropriately overtook selling volume on the reversal Luxalgo's Echo indicator, an AI predictive tool, suggests a 10% price rise in the after-hours which is typically a busy trading period for biotechnology penny stocks. I will take a long trade on FULC in after hours and take off a part of the position in the next trading day and hold the rest through the weekend.
NASDAQ:FULCLong
by AwesomeAvani
📊Volume Profile: Components & Concept📍What is a volume profile? A Volume Profile is an advanced charting indicator that displays total volume traded at every price level over a user specified time period. 📍Volume Profiles Uses: 🔷 Identify Key Support and Resistance Levels for Setups 🔷 Determine Logical Take Profits and Stop Losses 🔷 Calculate Initial R Multiplier 🔷 Identify Balanced vs Imbalanced Markets 🔷 Determine Strength of Trends 📍Volume Profile Components: 🔹Point of Control (POC): Price level where the most volume traded for the session. Commonly referred to as the POC. 🔹Value Area (VA): Price range in which a user specified percentage volume was traded for a session. Volume profile traditionalist use 70% as it close to 1 standard deviation from the mean. The Point of Control is used as the mean on a volume profile. 🔹Volume Area High(VAH) : This represents the price level at which the highest volume of trades occurred during the analyzed period inside VA. It indicates a significant level of trading activity and is often considered a key resistance level. 🔹Volume Area Low(VAL): Conversely, the Volume Area Low represents the price level with the lowest volume of trades during the analyzed period inside VA. It signifies a level of low trading activity and is typically considered a support level. 👤 @AlgoBuddy 📅 Daily Ideas about market update, psychology & indicators ❤️ If you appreciate our work, please like, comment and follow ❤️
Education
by QuantVue
3
AUDJPYAUDJPY on the 30-minute chart has had higher lows but also lower highs and may have a symmetrical triangle pattern. Price is currently at or above the following : (1) the POC line of the long-term volume profile (2) the mean line of the long-term anchored VWAP (blue line ) and the convergence of the EMA 200 ( red) and EMA 21 ( green). On the stochastic RSI the lines are moving upward from a bottom well below 20 and suggest bullish divergence. Given these confluences, I conclude that AUDJPY is set up to move higher over the intermediate term.
Long
by AwesomeAvani
USDCAD Short then LongUSDCAD in the past several sessions had a good uptrend then hitting a double top and reversal Sunday 5/15 after the open. The double top occurred at the of the second upper VWAP band above the mean and the top of the volume profile. On the descent , it has crossed under the POC line of the volume profile and is widway between the first positive VWAP bandline and the mean VWAP. Luxalgo's Echo indicator based on AI algorhythms predicts the trend down will bounce and reverse off the first lowewVWAP band at 1.337 into a consolidation sideways pattern for a day or two and then reverse. Accordingly, I will take a short position targeting 1.337 while getting a stop loss at the first upper VWAP ~ 1.35. I expect to close before swap comes into effect.
Short
by AwesomeAvani
TRLY Undervalued / Fed Fix Long SetupThe 2H chart on TLRY shows a volume profile showing the highest concentration of shares traded at $2.65 or about 15% above the current price. Short sellers dominated there. Price has descended down onto the support/demand zone. It is near to tow standard deviations below the mean VWAP and so very undervalued. Federal legislation intended to remedy the cannabis industry's issues with banking, commercial loans and other financial liquidity has begun. This is huge for this subsector and could cause a breakout from the deep undervalued territory. I will take a long setup here for a decent amount of shares and hedge with a single put option for risk management/insurance. ACB is similarly positioned.
NASDAQ:TLRYLong
by AwesomeAvani