Main Objective:
Map volume distribution by price level to identify:
High liquidity areas
Low liquidity areas
Imbalances between buyers and sellers
This indicator is powerful to understand the market structure and identify high probability areas for operations! 🎯
1. POC (Point of Control)
Linha Amarela - Price with highest traded volume
Area of greatest liquidity and price
Natural support/resistance
2. Value Area
White line lines - Area where 70% of the volume was traded
VAH (Value Area High) - Upper limit
VAL (Value Area Low) - Lower limit
Market balance zone
3. Cores of Volume
🟢 Green - Dominant Buying Volume
🔴 Vermelho - Dominant selling volume
Bar Length = Volume Intensity
📊 Use Strategies
1. Identification of Supports and Resistances
• POC functions as support/resistance dynamic
• Value Area defines balance zone
• Important S/R profile edges
2. Breakout Analysis
• Break above VAH → High trend
• Break below the VAL → Downtrend
• Non-break volume confirms movement
3. Entry Points
• Purchase: Retest the VAL with buyer volume
• Sell: Retest VAH with seller volume
• Fade: Operate against extremes of the profile
⚙️ Recommended Configurations
For Day Trading
csharp
Period = 50-100
Price Levels = 50
Profile Width = 120%
Value Area % = 70
For Swing Trading
csharp
Period = 100-200
Price Levels = 80
Profile Width = 150%
Value Area % = 70
✅ PROS:
Identifies dynamic supports/resistances
Show market intent (volume)
Reveals important liquidity areas
Clear visualization of imbalances
Contagem current volume ticks
