Market Profile

Hello, Trade2Winners.

My question regarding Trend Reversal has led me to market profile mentioned my joe4422 in his response to my question and tenbobtrader 's generous sharing of 'some basic stuff'' regarding market profile. My question is:

Can Stockcharts.com's overlay called Volume by Price be used as a substitute for market profile?

Thanks, --george

In a way, yes it can. The only problem is the Volume at Price they give you encompasses the volume for the full set of data you're viewing on the chart. It's not broken down by individual periods (like days) as an MP chart would be. Depending on your timeframes, though, it might be quite useful that way.

Rhody Trader said:

In a way, yes it can. The only problem is the Volume at Price they give you encompasses the volume for the full set of data you're viewing on the chart. It's not broken down by individual periods (like days) as an MP chart would be. Depending on your timeframes, though, it might be quite useful that way.

Click to expand...

Thanks, John. I had a hunch that Volume by Price could be read better with a background in Market Profile. And thanks for mentioning The Essentials of Trading.

--george