Market Profile

[DeltaGuy]

Here are some Market Profile charts the last 2 weeks in 4 different markets: ER2 YM ES IBM. The bars on each day are painted a different color to allow you to easily distinguish each day the 3 lines on each day are the Market Profile Value Area High (VAH) Point of Control (POC) Value Area Low (VAL). The point of these charts is to encourage discussion about how the market reacted to these Market Profile levels create working strategies for intraday trading of these markets using Market Profile. Comments encouraged....

[elmagd2000]

Hi Delta How are you doing?
I remember talking some time ago about possibility to apply market profile techniques on forex market. What are your thoughts about that?

Hani

[DeltaGuy]

Hi Hani

Well what do you think of the MP action in the EC?

[fxsport]

Originally Posted by DeltaGuy

Here are some Market Profile charts the last 2 weeks in 4 different markets: ER2 YM ES IBM. The bars on each day are painted a different color to allow you to easily distinguish each day the 3 lines on each day are the Market Profile Value Area High (VAH) Point of Control (POC) Value Area Low (VAL). The point of these charts is to encourage discussion about how the market reacted to these Market Profile levels create working strategies for intraday trading of these markets using Market Profile. Comments encouraged....

Comments:

1. Nice pretty charts
2. How does it relate to Euro Cable etc
3. Your VAH POC VAL - are these new names for Pivots?
4. When does your program calculs the VAH POC & VAL? It is important how they are calculed because in your post you said

Originally Posted by DeltaGuy

...how the market reacted to these Market Profiles levels create working statregies for intraday trading of these markets using Market Profile.

So doesn't the market need to now the Profile levels in order to react to them?

[JR97]

Nice. I love market profile trading. I use a variation of the concept for my trading but apply the concept across multiple time frames.

[JR97]

Originally Posted by fxsport

So doesn't the market need to now the Profile levels in order to react to them?

The market does know them... but probably as something else or even on a subconscious level. The whole concept behind market profile is the bell curve statistical distribution. Once I understood that concept my trading exploded to a whole new level.

[RavenMM]

I don't get it. I thought market profile was calculated using volume. I mean that's the whole point of market profile. What are they using for volume calculations? Is it just the futures volume on a contract?

[fxsport]

Originally Posted by JR97

The market does know them... but probably as something else or even on a subconscious level. The whole concept behind market profile is the bell curve statistical distribution. Once I understood that concept my trading exploded to a whole new level.

Hey JR cool bell curve

Ok I admit my ignorance as to market profiles so clue me in to the following:

1. What are market profiles? Pivots Statistical driven probability driven etc.
2. What time frames to they apply to finally
3. Who the he-- uses them?