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Volume Profile Strategy — How Institutions Actually Trade

r/DaytradingstocksIntraday to swing (session-based)by reddit_community

Volume Profile trading: buy breaks above VAH, short breaks below VAL. POC acts as price magnet. Fade extreme moves away from POC. Institutional approach.

ENTRY RULES

Price breaks above Value Area High with above-average volume = long | Price breaks below Value Area Low with above-average volume = short | Fade strategy: enter towards POC when price is 2+ ATR from it | Use previous session POC as key level | Only trade liquid stocks/futures

EXIT RULES

Breakout trades: target next session POC | Fade trades: exit at current session POC | Stop loss outside Value Area (beyond VAH for shorts, beyond VAL for longs) | Time stop: exit if target not hit within 2 sessions | Close all before major economic events

INDICATORS

Volume ProfilePOCValue AreaATR

ORIGINAL POST

378
r/Daytradingposted by reddit_community

Volume Profile Strategy — How Institutions Actually Trade

Volume Profile reveals where institutions have their positions. Point of Control (POC) is the most traded price level — acts as a magnet for price. Value Area (70% of volume) defines fair value. Strategy: when price breaks above Value Area High (VAH) with volume, go long targeting next POC above. When price breaks below Value Area Low (VAL), go short. Price tends to return to POC, so fade moves away from it.

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Volume Profile Strategy — How Institutions Actually Trade | iGotFomo Strategies