Volume Profile

The Volume Profile indicator provides an automated session-based volume analysis tool that identifies key price levels including Point of Control (POC), Value Area High (VAH), and Value Area Low (VAL). It is designed to help day and swing traders visualize where the majority of trading activity occurred during specific market sessions to identify areas of value and potential support or resistance.

Usage

The Usage section describes how the script can be used to analyze session dynamics. Traders can utilize this tool to monitor institutional activity and price acceptance within specific timeframes.

• Session Selection: Users can choose between Regular Trading Hours (RTH), GLOBEX, or FULL sessions to align the profile with their specific asset class (e.g., /ES futures).
• Support & Resistance: The POC (solid yellow/blue line) serves as the most traded price of the session, often acting as a magnet for price. The VAH and VAL lines define the boundaries where 70% of the volume took place, representing the "Value Area."
• Session Extremes: The script plots the session High, Low, and Mid-points, which are critical for Auction Market Theory analysis and identifying "failed auctions" or "range extensions."
• Historical Analysis: By adjusting the lookback periods, traders can view previous sessions to find high-volume nodes that may impact current price action.

Details

The indicator calculates volume distribution based on the current chart's time interval rather than pulling data from lower timeframes. It iterates through price levels within a session to aggregate volume and determine the Value Area based on standard distribution principles (70%).

Note: To maintain performance and accuracy, the indicator is restricted to specific intraday resolutions: 1, 2, 3, 5, 10, 15, and 30-minute charts. The script uses the current chart's minimum tick size to ensure precise level plotting.

Settings

• Session: Selects the time range for the profile: RTH (08:30-15:15 CT), GLOBEX (17:00-08:30 CT), or FULL (17:00-15:15 CT).
• Last 12 hour periods to show: Determines the depth of the historical study. For example, 60 periods equate to approximately 22 trading days.
• Show POC (Point of Control): Toggles the visibility of the most traded price level.
• Show VA (Value Area High & Low): Toggles the visibility of the lines defining 70% of session volume.
• Show Range (Session High, Low & Mid): Toggles the visibility of the session extremes and the median price.
• Highlight out of session: Applies a background tint to periods outside the selected session hours for better visual focus.
• Extension: If enabled, extends the session levels to the right side of the chart for easier tracking against current price action.

FAQ

How do I fix the indicator if no lines are appearing on my chart?
Ensure you are using one of the supported timeframes (1, 2, 3, 5, 10, 15, or 30 minutes) and that the "Last 12 hour periods to show" setting is high enough to cover the most recent session.

Does this indicator use Tick Volume or Real Volume?
It uses the volume data provided by the exchange for the specific symbol on your chart. For futures and stocks, this typically represents real traded volume.

How can I access the Volume Profile tool?
You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.