Technical Indicators for MetaTrader 4
Shopping cart
The cart is empty
MetaTrader 4
Top Rated Products MT4
Overview
Volume Profile Density V2.40
Analysis of Volume Distribution by Price Level
1️ Presentation
Volume Profile Density displays the distribution of volume by price, revealing areas of institutional interest.
Unlike classical volume (over time), it shows where the volume was concentrated.
Principle:
-
Horizontal bars = volume traded at each price
-
Longer bar → higher volume
-
Red zones = major support/resistance
2️ Main Uses
-
Identify actual support/resistance zones
-
Determine the POC (Point of Control)
-
Define Value Area = zone containing 70% of the volume
-
Use low-volume zones for stops/targets
3️ Visual Elements
a. Lateral Profile:
High price ▌ ▌▌▌▌▌▌▌▌▌ ← POC Low price ▌
Color coding:
-
? Low volume → area quickly crossed
-
? Medium volume
-
? High volume → institutional zone
b. Key Lines:
-
POC → maximum volume (market equilibrium level)
-
VAH / VAL → boundaries of the Value Area (70%)
4️ Interpretation of Zones
| Zone | Meaning | Possible Action |
|---|---|---|
| ? High density | Strong support/resistance | Likely rebound or rejection |
| ? Medium density | Equilibrium zone | Possible range |
| ? Low density | Fast-passing zone | Ideal target or stop |
| POC | Market equilibrium level | Key pivot for trend |
| VAH / VAL | Accepted price limits | Start or end of a range |
5️ Trading Scenarios
| # | Situation | Reading | Strategy |
|---|---|---|---|
| 1 | Rebound on red zone | Support confirmed | Buy / Stop below zone |
| 2 | Rejection at VAH or red zone | Active resistance | Sell / Target POC |
| 3 | POC breakout with volume | Trend change | Trade in direction |
| 4 | Return to POC | Price attracted to POC | Enter on return |
| 5 | Exit + rejection at VAH/VAL | Reversal | Trade toward opposite zone |
6️ Quick Settings
| Usage | Granularity | Density | Adaptive Scaling |
|---|---|---|---|
| Beginner | 1.0 | 100% | 1.0 |
| Scalping/Day | 0.5 | 200% | 0.5 |
| Swing | 2.0 | 50% | 1.5 |
7️ Advanced Parameters
| Parameter | Range | Effect |
|---|---|---|
| Granularity Multiplier | 0.25 → 2.0 | Precision or smoothing |
| Density Sampling | 50% → 400% | Profile detail |
| Adaptive Scaling | 0.5 → 2.0 | Bin width adjustment |
8️ Multi-Asset Compatibility
| Asset | Volume Type | Adjustment |
|---|---|---|
| Forex | Ticks | Auto (3/5 digits) |
| CFD Indices | Real volume | Auto scaling |
| Metals | Real volume | High price adjustment |
| Crypto | Real volume | Auto for > $10,000 |
9️ Pro Applications
| Case | Use |
|---|---|
| Market Maker Detection | Identify institutional accumulation |
| Fair Value Gap | Low volume = value gap |
| Rotation Trading | Trade between VAH ↔ VAL |
| Breakout Validation | Real breakout = crossing red zone with volume |
Example:
✅
-
Buy rebound on red zone
-
Sell rejection at red zone
-
Follow POC breakouts
-
Target blue zones
-
Use POC return to enter
❌
-
Trade against POC
-
Ignore red zones
-
Place stops inside red zones
-
Overuse unnecessary parameters
10 Technical Data
-
Version: 2.40
-
Compatibility: MT5
-
Assets: Forex, CFD, Metals, Crypto
-
Timeframes: M1 → MN1
-
Type: Real-time auto-adjusted indicator
Volume Profile Density V2.40 PRO provides an institutional view of the market:
Volume never lies — trade with volume zones, not against them.
