Who Can Make Use of Information On the Market Profile Chart

On a particular market profile chart or graph, the order or sequence or disposition flow is more than most traders assume as being;

a)      Total numbers or values that are within the candle stick.

b)      Information or data that can be obtained on the Times and Sales graph of the profile chart.

Sequence flow or flow of the order would try to make traders understand the way the market is going (or flowing). It is neither a magic nor a system that can generate money. It is a very deep analysis that can aid traders to make accurate and calculated decision when placing their trades.

When starting to trade, there are three kinds of assets that you can trade with. They are;

1.       The Currencies

2.       The Stocks

3.       The future.

All these assets are affected by only one factor which is the perceived or assumed value. So, at any particular time, many traders are participating to decide or predict what the volume profile will be. This is the reasons why some participants will buy a particular element or asset while another trader will sell. Some participants will rather sell for a very long term; others are only interested in buying so as to make profit quickly. There are also some traders that are only interested in hedging the asset (be it stock or currency).

But if you want to be a speculator, an observer or contemplator in a market, all the motives of these traders will not be your own reasons for trading. You should only be interested in where the participants make their decisions and the time they do them. You need to accept that many things are happening in the marketing of which you do not need to be involved with. You do not have to guess what traders are thinking as an observer.

As a speculator, you should only take trading as market with constant order flow where the order is constantly changing or acting with respect to the changing in price.

To get more information visit #market profile.