Volume profiles & Fixed ranges 🧵
...learn this before using ↓

Volume profile components
There are 3 main components to a volume profile :
Point of control (POC) - price where most volume was transacted in the range.
Value area low (VAL) - 34% of the volume in the range below the POC.
Value area high (VAH) - 34% of the volume in the range above the POC.
Settings to have include the VA% - standard 68% yet 70% is also a good value.
Using ticks per row as the layout and row size 148 is what I've found to work best on all sizes of profiles.
... here they are demonstrated ↓

Pulling a fixed range
What separates a fixed range profile is that the trader has the ability to select where and when the range begins and ends.
The best fixed ranges are those within consolidation periods of price action (sideways price movement between a common resistance and support).
...example ↓

Revisiting ranges
Price action moves from one range to another for what the market believes is a fair value of price in an asset.
When moving back into a previous range the value areas act as good backtesting levels & point of controls act as key resistance and support levels.
...example ↓

Range breakouts
Knowing when price breaks out of a range is key for creating a perspective bias to prices next move.
On a breakout look for these common order flow factors at either the VAL or VAH:
- heavy increase in volume
- heavy decrease in open interest
- liquidation spikes
- volatility (quick and large moves in price)

If you found this thread helpful, make sure to like, follow and repost to learn more trading content. It means a lot.
Credits to @leviathancrypto for the tools used for breakout identification, some really good stuff I'd recommend giving a look at (volume suite, oi suite, market order bubbles).
Stay smart. Trade safe.
Exotick.