I read the material you posted here on the forum:
1. https://www.vtad.de/lexikon/volume-profile/
2. Market ProFile trading methods_Dmitry Sapegin.docx
Honestly, I got lost a little bit
For example, setup if the price of a given day opens in the VA of the previous day:
Short by. VTAD
If the market opens on the following trading day between POC and VAH, the short strategy is triggered: A stop sell is placed on the VAH of the previous day, the stop loss is just above the previous day's high and the take profit is on the VAL of the previous day placed
In this version:
- VP days: 1
- The place of opening in VA matters: above the POC and below the VAH
- We actually sell pullback to VAH
- Here probably some PA rejecting VAH would come in handy.
Short by. Dmitry Sapegin, here we have probably two versions:
According to pt 2a) In a falling market, when the current session opens inside VAL, open a short position from the previous day's VAH (- 2 points) with a stop at the POC or HVL level of the day before last (+ 1.5 points).
In this version:
- VP days: 2
- The place of opening in VA not matters: should be in VA
- We actually sell pullback to VAH
- Here probably some PA rejecting VAH would come in handy.
I think I still understand, the trend gives a greater advantage. The place of opening does not matter much, we open the position with the trend, but at the highest price (pullback)
According to pt 4a) In a falling market, when the current session opens above yesterday's VAL, but below the day before yesterday's POC, open a short position at the level of the day before yesterday's VAH and again at the level of the day before yesterday's POC, with a stop 1.5 pips above the day before yesterday's high. If the price has reached the level of hitting the stop and remains higher, we change the direction of trade.
In this version:
- VP days: 2
- The place of opening in VA matters: below the POC and above the VAL (opposite to VTAD)
- We actually sell pullback to POC
- Here probably some PA rejecting POC would come in handy.
Ask to you:
1. Could you please tell me if I am thinking correctly about VTAD (short) and Sapegin 2a) ?
2. I don't understand why setup Sapegin 4a) is the inverse to VTAD, could I ask for help in understanding ?
Thank you in advance.